ECONOMICS
HUMAN CAPITAL
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Tangible
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Easily Sold in the market
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(a) and (b)
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None of the above
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Detailed explanation-1: -Physical capital consists of tangible, human-made objects that a company buys or invests in and uses to produce goods. Physical capital items, such as manufacturing equipment, also fall into the category of fixed capital, meaning they are reusable, and not consumed during the production process.
Detailed explanation-2: -Explanation : Among the following, human being is not a physical capital, the remaining three alternatives, equipment and machines, buildings and raw materials, are all physical capital, which are used in agricultural production. Human is a labor resource.
Detailed explanation-3: -Physical capital is the variety of inputs required at every stage during production. It includes fixed capital and working capital. The tools, machines, buildings which can be used in production over many years are called fixed capital.Raw materials and money in hand are called working capital.
Detailed explanation-4: -Cash, real estate, equipment, and inventory are examples of physical capital.