Economists Refer to Things That Have Already Been Produced That

question 204

Multiple Choice

Economists refer to things that have already been produced that are in turn used to produce other goods and services as

• A) land.
• B) labor.
• C) entrepreneurship.
• D) capital.

---

Definitions:

Required Rate

A specific rate of return or interest rate required by investors or lenders to compensate for the risk of an investment or loan.

Net Present Value

A financial metric used to determine the current value of a series of future cash flows, adjusted for time and interest.

Distributorship

An arrangement in which a business grants another business the right to sell its products or services in a particular area.

Working Capital

The disparity between a firm's immediate assets and liabilities, showcasing its short-term financial health and operational effectiveness.