Question

Distinguish between:

Place utility and Time utility 

Answer 1

Sr. No.	Time utility	Place utility
1.	When utility of a commodity increases by storing it and making it available during the time of need, it is called time utility.	When a change in the place of a commodity increases its utility, it is called as place utility.
2.	Time utility is created by storing the goods from the time of production to time of consumption.	Place utility is created by transporting the goods from place of production to place of consumption.
3.	Warehousing creates time utility.	Transport services create place utility.
4.	E.g.: Storing of mangoes till they are transported to local markets.	E.g.: Transportation of mangoes from farms to local markets.