Which of the following is the most likely example of a production industry?

• A. Retail clothing store
• B. Banking services
• C. Automobile manufacturing
• D. Advertising agency

Answer: (C)

Verified step by step guidance

1. Step 1: Understand the concept of a production industry. A production industry primarily involves the creation or manufacturing of goods through the transformation of raw materials or components into finished products.
2. Step 2: Analyze each option to determine whether it fits the definition of a production industry. For example, a retail clothing store primarily sells finished goods rather than producing them.
3. Step 3: Consider banking services and advertising agencies, which are service industries focused on providing intangible services rather than producing physical goods.
4. Step 4: Identify automobile manufacturing as an industry that involves assembling raw materials and components into finished vehicles, which clearly fits the definition of a production industry.
5. Step 5: Conclude that among the given options, automobile manufacturing is the most likely example of a production industry because it involves the actual production of tangible goods.