Why insurance and banking are known as auxiliaries of trade?
Answers
Answered by
0
- Auxiliaries to trade are part of Commerce. They consist of transportation, warehousing, advertising, banking, insurance etc. Transportation and communication are components of auxiliaries of trade and are very important components, as they allows better flow of goods and information.
Answered by
0
Answer:
Activities which are meant for assisting trade are known as auxiliaries to trade.
(i) Transport, banking, insurance, warehousing and advertising are regarded as auxiliaries to trade.
(i) These are services that help in removing various hindrances which arise in connection with the production and distribution of goods.
Two such business activities that are auxiliary to trade are
(i) Transport and Communication
(i) Insurance
Explanation:
Similar questions