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Examveda

For the following two statements of Assertion (A) and Reason (R) suggest the correct answer.
Assertion (A) Low initial price regarded as the principal means for entering into mass market for some new products.
Reason (R) Firms generally enter into production of new products with excess capacity of the plant initially.

A. (A) is correct, but (R) is not correct

B. (A) is not correct, but (R) is correct

C. (A) and (R) both are correct and (R) is the right explanation of (A)

D. (A) and (R) both are correct but (R) is not the right explanation of (A)

Answer: Option D


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