In Order to Possess Future Service Potential an Asset Must

question 188

True/False

In order to possess future service potential an asset must have physical substance.

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Definitions:

Economics

The social science that studies how individuals, governments, firms, and nations make choices on allocating scarce resources to satisfy their unlimited wants.

Profit

The financial gain obtained when the revenues generated from business activities exceed the expenses, costs, and taxes involved in sustaining the activity.

Capital

Financial assets or the financial value of assets, such as funds held in deposit accounts and/or the physical factors of production including machinery and buildings.

Resource Owners

Individuals or entities that hold legal rights or control over natural, human, or capital resources, enabling them to use or allocate them.