Capital,as a Factor of Production,refers to

question 117

Multiple Choice

Capital,as a factor of production,refers to

• A)stocks and bonds but not money.
• B)the production factors imported from abroad.
• C)money,stocks and bonds.
• D)the production technology used by firms.
• E)the tools and instruments used to produce other goods and services.

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Definitions:

Nominal Cost

A term often used to describe a cost that is very small or insignificant in comparison to the overall financial figures involved.

Acquired

The process in which one company obtains a majority stake in or the entirety of another company.

Donation

A gift given by physical or legal persons, typically for charitable purposes and/or to benefit a cause.

Fair Market Value

The price at which property would sell between a willing buyer and a willing seller, each having reasonable knowledge of all relevant facts and not under any compulsion to transact.