WORLD HISTORY

Detailed explanation-1: -Physical capital refers to assets, such as building, machinery, and vehicles, which are owned and employed by an organisation.

Detailed explanation-2: -Office buildings, machinery, and tools are examples of capital. Natural resources are the resources of nature that can be used for the production of goods and services. In the next three sections, we will take a closer look at the factors of production we use to produce the goods and services we consume.

Detailed explanation-3: -What Is Capital Investment? Capital investment is the acquisition of physical assets by a company for use in furthering its long-term business goals and objectives. Real estate, manufacturing plants, and machinery are among the assets that are purchased as capital investments.

Detailed explanation-4: -Capital is a source of finances, whereas investment is the use of funds. Therefore, it is not the same between capital and investment. Since capital is something to put in the earlier of the business. While after that, the use of this capital can be defined as an investment.

Detailed explanation-5: -Capital purchases are ‘capital’ items you purchase, including: business assets you purchase such as machinery, cash registers, computers and cars (these items are also referred to as plant and equipment)