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Question 25 of 32

Q.Correct the underlined word and rewrite the following sentence.
When there is
recession
in economy sales will increase.

Maharashtra MsbshseMaharashtra HSC (MSBSHSE) Board 2025Subjective· 1mImportance★★★★★
78% · 25/32 Questions
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The underlined "recession" is wrong; sales increase during a boom, not a recession.

Business activity moves through phases of the trade/business cycle, and this directly affects sales and the working-capital requirement of a firm:

  • Boom (prosperity): demand is high, sales increase, and the company needs more working capital to finance higher stocks and receivables. …

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