Question
Stock can exceed supply.OR
Supply cannot exceed stock.
Supply cannot exceed stock.
✓
Answer
Yes, I agree with this statement.
- Stock is the entire quantity of a commodity, which is in the custody of the seller.
- Supply refers to that part of stock of a commodity which is offered for sale at prevailing market price during a period of time.
- Thus supply is a part of stock. c
- Stock is the potential supply. It is a fund or reservoir from which supply flows.
- Stock determines the ability of seller to supply.
Thus, stock exceeds supply.
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