Which of the following best explains why a company might want to be based
in a free trade zone?
O A. Products are freely available because of government intervention.
B. There is the possibility of very low or no taxes.
C. High taxes pay for essential infrastructure for local companies.
O D. Tariffs on imports promote local businesses.
The answer is B because a free trade zone is a zone where there are little to no custom regulations, which allows for products to be easily accessible to the public. And that could boost sales for the company.
