[amp_mcq option1=”Utility” option2=”Necessity” option3=”Commodity” option4=”Stock” correct=”option3″]
The correct answer is C. Commodity.
A commodity is a good that is widely available and has no distinct characteristics from other goods of the same type. Commodities are typically traded on an exchange, and their prices are determined by supply and demand.
Some examples of commodities include:
- Agricultural products: wheat, corn, soybeans, coffee, sugar, cotton
- Metals: gold, silver, copper, iron ore, oil
- Energy: crude oil, natural gas, coal
- Livestock: cattle, hogs, sheep
Commodities are often used as a hedge against inflation or other economic risks. They can also be used as a way to diversify an investment portfolio.
Option A, utility, is incorrect because it refers to something that is useful or serves a purpose. Option B, necessity, is incorrect because it refers to something that is essential or required. Option D, stock, is incorrect because it refers to shares in a company.