BUSINESS ADMINISTRATION
BUSINESS ENVIRONMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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things from nature used to produce goods
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the machines, tools, and buildings used to produce goods
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the people used to produce goods
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Detailed explanation-1: -What Are Capital Goods? Capital goods are physical assets that a company uses in the production process to manufacture products and services that consumers will later use. Capital goods include buildings, machinery, equipment, vehicles, and tools.
Detailed explanation-2: -Capital resources include money to start a new business, tools, buildings, machinery, and any other goods people make to produce goods and provide services.
Detailed explanation-3: -The third factor of production is capital. Think of capital as the machinery, tools and buildings humans use to produce goods and services. Some common examples of capital include hammers, forklifts, conveyer belts, computers, and delivery vans.
Detailed explanation-4: -The four major types of capital include working capital, debt, equity, and trading capital.
Detailed explanation-5: -The tools and machines that are used in production over many years are known as fixed capital.