The correct answer is A. Deterioration in law and order situation.
The Mughal Empire was a powerful and prosperous empire that ruled over much of India for over 200 years. However, the empire began to decline in the late 17th century, and by the early 18th century, it had collapsed. One of the main reasons for the decline of the Mughal Empire was the deterioration in law and order.
During the early years of the Mughal Empire, there was a strong central government that maintained law and order. However, as the empire grew larger, it became more difficult to maintain control. The Mughal emperors became increasingly reliant on local officials to maintain order, but these officials were often corrupt and incompetent. This led to a breakdown in law and order, which made it difficult for trade and commerce to flourish.
In addition to the deterioration in law and order, there were other factors that contributed to the decline of the Mughal Empire. These included the rise of regional powers, the decline of the Mughal army, and the economic crisis. However, the deterioration in law and order was one of the most important factors that led to the decline of the Mughal Empire.
The other options are not correct because they are not the main reasons for the decline of the Mughal Empire. Option B, closure of old routes of trade, is not a valid reason because the Mughal Empire had a well-developed network of trade routes. Option C, abuse of trade licence by European companies, is not a valid reason because the Mughal Empire had a strict system of trade regulations. Option D, poverty of the Mughal nobility, is not a valid reason because the Mughal nobility was very wealthy.