Which of the Following Is an Example of a Capital

question 80

Multiple Choice

Which of the following is an example of a capital resource?

• A)a bank loan
• B)a corporate bond
• C)a tractor used by a farmer
• D)a lawn tractor used by a household
• E)100 acres of prime farmland

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Definitions:

Materials Cost

The cost of materials that are used to manufacture a product or provide a service.

Ending Work

Refers to the value of work-in-process inventory at the end of an accounting period.

Activity-Based Costing

A method in accounting that assigns costs to products or services based on the activities required to produce or deliver them.

Overhead Costs

Indirect costs associated with operating a business, such as utilities, rent, and administrative expenses, not directly tied to a specific product or service.