The Difference Between a Productive Resource and a Capital Resource

question 72

Multiple Choice

The difference between a productive resource and a capital resource is:

• A)Capital resources can exist only in modern industrialized nations.Productive resources exist everywhere.
• B)Capital resources can exist only in modern industrialized nations.Productive resources exist only in traditional societies.
• C)The ownership of capital resources makes one wealthy,but the ownership of productive resources does not.
• D)Capital resources are used to generate profit for their owners,while productive resources do not necessarily have this function.
• E)Capital resources can be sold or inherited,productive resources cannot.

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Definitions:

Generally Accepted Accounting Principles

A set of accounting standards and practices that are used in the preparation of financial statements in the United States.

Procedures

The official or established way of doing something, often detailed through a series of steps or actions to be taken.

Guidelines

General rules, principles, or pieces of advice that suggest how something should be done or what something should be.

Account Category

The classification of accounts into different types, such as assets, liabilities, equity, revenue, and expenses, to organize financial information effectively.