Which of the Following Is NOT True of Capital Productivity

question 47

Multiple Choice

Which of the following is NOT true of capital productivity?

• A) Changing the way a firm handles inventory to reduce capital expenditures can increase capital productivity.
• B) It is an important measure of efficiency.
• C) Higher capital productivity is achieved by eliminating unproductive assets or activities from a firm's capital.
• D) It is measured by looking at a product's price.
• E) It is the output produced by a dollar of capital invested in the business.

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Definitions:

Perseveration

The repetition of a particular response (such as a word, phrase, or gesture) despite the absence or cessation of a stimulus, often associated with various forms of brain damage or mental illness.

Egocentrism

A lack of ability to separate one's personal perspective from the perspective of others.

Centration

A cognitive limitation in early childhood where the child focuses on one aspect of a situation, neglecting other important features.

Static Reasoning

A cognitive understanding that things do not change, mistakenly assuming that the world is always in the same state as it is currently observed.