A company's target production is 5,000 units in a year. Ram, the manager of the company is able to produce 5,000 units, but at a higher production cost. Then Ram is ______.

(A) Effective as he was able to attain the targeted production at minimum cost
(B) Efficient as he was able to attain the targeted production at a higher cost
(C) Effective as well as efficient
(D) Effective but not efficient because of high production cost
(E) Efficient but not effective

Choose the correct answer from the options given below:

(D) only

The correct answer is Option (1) → (D) only.

Ram is Effective but not efficient because of high production cost.

• Effective means that the target (5000 units) has been achieved, which Ram has done.
• Efficient refers to achieving the goal with the minimum possible cost. Since Ram has achieved the target but at a higher cost, he is not efficient.

Thus, Ram is effective but not efficient because of the higher production cost.