A College Has Contracted a Construction Company to Build a Bookstore

question 121

Multiple Choice

A college has contracted a construction company to build a bookstore for its new campus. In the context of factors of production, the heavy machinery and equipment used by the contractor in the construction process are referred to as _____.

• A) assets
• B) human resources
• C) natural resources
• D) capital

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Definitions:

Total Utility

The total satisfaction or benefit that a consumer gets from consuming a particular quantity of goods or services.

Income Redistribution

The transfer of income from certain individuals or groups to others through mechanisms like taxation, welfare, and subsidies to promote economic fairness.

Incentives To Produce

Factors or motivations that encourage firms or individuals to engage in production, including profits, market demand, or regulatory conditions.

Stock Concept

A financial term referring to the ownership of shares in a company or the total value of goods available in inventory.