Question

Which of the following statements is true of the PLC?

1. Maturity is the period when sales fall off but profits continue to rise.

2. Profits are nonexistent in the growth stage.

3. Growth is a period of rapid rise in sales but profits are lower than sales.

4. Throughout the product introduction stage, sales are zero.

5. During the product decline stage, sales and profits drop in an identical manner.]

Answer 1

Answer:

3. Growth is a period of rapid rise in sales but profits are lower than sales.

Explanation:

• The growth stage is characterized by the product which is present in the market, as there is quick growth in product sales. New customers become aware of the product.  

• The customers are get satisfied with the product and buy it again and again. This helps in creating increased competition in the market and also results in decreasing the product price.  
• The costs are reduced due to economies of scale  and the sales volume increases significantly but the  profitability begins to rise  slowly.

Answer 2

The true statement that has been made about a PLC is that  Growth is a period of rapid rise in sales but profits are lower than sales.

What is a PLC?

This is a term that is used to vrefer to a public limited company. This kind of company is known for offering its shares to the public.

The buyers of the stock in a PLC are the individuals that would have limited liability to the business.

Read more on public limited company here: https://brainly.com/question/859322