Which of the Following Statements About Inputs Is Correct

question 113

Multiple Choice

Which of the following statements about inputs is correct?

• A)A forest is an example of a natural resource;it is also an example of a renewable resource.
• B)There is no distinction between human capital and technological knowledge.
• C)Human capital is a non-produced factor of production.
• D)Physical capital is a non-produced factor of production.

---

Definitions:

Cost of Retained Earnings

The opportunity cost to shareholders for having a company retain earnings instead of paying them out as dividends.

Flotation Costs

Expenses incurred by a company in issuing new securities, including legal, administrative, and underwriting fees.

Constant Rate

A fixed percentage or value that does not change over a specified period of time, often used in financial formulas to calculate growth or decay.

Retained Earnings

The portion of net income not distributed to shareholders but instead reinvested in the business or used to pay off debt.