Questions Related to capital

Multiple choice economics concept of consumption function, saving function and investment function capital economy of a village wealth, capital and money

The manufactured goods are called _______.

  1. physical capital

  2. consumers

  3. utility

  4. labour

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Manufactured goods such as machinery, buildings, or computers, etc.,  are called the physical capital. In economic theory, physical capital is one of the three primary factors of production.

Multiple choice economics concept of consumption function, saving function and investment function capital economy of a village wealth, capital and money

"All those man-made goods which are used in further production of wealth." This is the definition of _________.

  1. goods

  2. production

  3. capital

  4. labour

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Capital can be used over a long period of time. When used efficiently over a long period of time it will generate wealth for the entrepreneur. 

Multiple choice economics concept of consumption function, saving function and investment function capital economy of a village wealth, capital and money

Money, fuels, etc. are the examples of _________ capital.

  1. trade capital

  2. fixed capital

  3. sunk capital

  4. floating capital

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Floating capital, also known as circulating capital, refers to assets that are used up or transformed during the production process, such as raw materials, fuel, and cash.

Multiple choice economics concept of consumption function, saving function and investment function capital economy of a village wealth, capital and money

Capital which is invested in the private sector or by people privately is known as ____________.

  1. public capital

  2. private capital

  3. national capital

  4. international capital

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Private capital refers to that capital which is invested in the private sector or by people privately. This capital is used to generate income for the people operating in the private sector.

Multiple choice economics concept of consumption function, saving function and investment function capital economy of a village wealth, capital and money

When the capital of a country is used within its territory, it is called __________.

  1. external capital

  2. internal capital

  3. ntional capital

  4. international capital

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

When the capital formed in a country is used within the domestic boundary of the country for any production process, it is known as internal capital.

Multiple choice economics concept of consumption function, saving function and investment function capital economy of a village wealth, capital and money

The capital which directly helps in the production of goods, e.g. machines, tools, factories, etc. is termed as ____________.

  1. consumption capital

  2. production capital

  3. private capital

  4. public capital

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Production capital refers to that capital which is associated with the production mechanism directly. It is used in the process of production in the physical form, i.e, in the form of machines, tools, etc.

Multiple choice economics concept of consumption function, saving function and investment function capital economy of a village wealth, capital and money

When the capital is obtained from foreign countries and used in our country, it is called ___________.

  1. external capital

  2. internal capital

  3. national capital

  4. international capital

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Capital obtained from foreign sources and invested domestically is classified as external capital, as opposed to internal capital generated within the country.