1. Economists classify all of the following as physical capital, except_______? a. $20.00 bill b. Mc...

1. Economists classify all of the following as physical capital, except_______?
a. $20.00 bill
b. Mc Rotunda building where an economics class meets

c. A photocopier

d. A railroad car
e. A factory

Solutions

Expert Solution

Answer Option A:- $20.00 bill

Explanation: physical capital is one of the important factors of production. Physical capital are manmade and tangible assets helps in the process of production. The physical capital is fixed in nature and they are to be used over a period of time. Therefore the investment on physical capital are considered as fixed cost for business in shortrun. The various example of physical capital are building, machine, equipments and vehicle. As per the question Option B-“Mc Routunda Building where economic class meets” , option C-“A photocopier”, option-D “A railroad car” and option E-“A factory” are the example of physical capital because they are manmade and tangible; moreover they assist directly in the process of production.

Whereas option A-$20.00 bill is not physical capital because it does not satisfy the characterises of physical capital. Moreover it is financial capital not physical capital.

Rahul Sunny answered 1 month ago

Next > < Previous

Related Solutions

43. Economists would classify all the following as land except: a) 2000 acres of virgin land...

43. Economists would classify all the following as land except: a) 2000 acres of virgin land b) Crude oil reserves c) A hydro electric dam d) Iron ore deposits 44. As a student of economics, when you speak of scarcity, you are referring to the ability of society to: a) Employ all of its resources b) Consume all that is produced c) Satisfy economic wants given scarce resources d) Continually make technological advances and increase production 45. Airlines charge business...

Economists refer to the talents, training, and education of workers as Multiple Choice human capital. physical...

Economists refer to the talents, training, and education of workers as Multiple Choice human capital. physical capital. average labor productivity. labor supply.

A. Differentiate between revenue expenditure and capital expenditure B. Classify the following transactions as revenue (Income)...

A. Differentiate between revenue expenditure and capital expenditure B. Classify the following transactions as revenue (Income) or capital in nature? 1. Sale of manufactured paints. 2. Contract to provide services to repair dilapidated building. 3. Purchase of raw material to manufacture garments. 4. Construction of a warehouse to house finished goods for distribution. 5. Proceeds of an insurance policy covering loss of profits for damage done to the business premises because of a fire. 6. Repairs of 90% of business...

1. Which of the following statement is true? A. AVC = TC/Q B. MC equals the...

1. Which of the following statement is true? A. AVC = TC/Q B. MC equals the change in ATC divided by the change in Q. C. TFC = TC- TVC D. TC = TFC- TVC 2. If the marginal cost o the 5,000 unit is $0.06 an the average total cost of the 5,000 unit is $0.10; A. Average variable cost is falling B. Average total cost is falling C. Total cost I falling D. Average fixed cost is rising...

Given the following list of items: a. Classify the items as A, B, or C b....

Given the following list of items: a. Classify the items as A, B, or C b. Determine the economic order quantity for each item (round to the nearest whole unit) Item Estimated Annual Demand Ordering Cost Holding Cost (%) Unit Price H4-010 20,000 55 25 4.5 H5-201 60,200 65 25 6 P6-400 9,800 85 35 30.5 P6-401 14,500 55 35 14 P7-100 6,250 55 35 11 P9-103 7,500 55 45 24 TS-300 21,000 45 30 47 TS-400 45,000 45 30...

Classify the following as cross-section or time-series data. Food bill of a family for each month...

Classify the following as cross-section or time-series data. Food bill of a family for each month of 2015 Number of accidents each year in Dallas from 2000 to 2015 Number of supermarkets in each of 40 cities as of December 31, 2015 Gross sales of 200 ice cream parlors in July 2015

For all of the following questions 20.00 mL of 0.195 M HBr is titrated with 0.200...

For all of the following questions 20.00 mL of 0.195 M HBr is titrated with 0.200 M KOH. Region 1: Initial pH: Before any titrant is added to our starting material What is the concentration of H+ at this point in the titration? M What is the pH based on this H+ ion concentration? Region 2: Before the Equivalence Point 5.68 mL of the 0.200 M KOH has been added to the starting material. Complete the BCA table below at...

Use concept analysis to clarify the following terms a) Intellectual capital versus physical assets b)Tacit knowledge...

Use concept analysis to clarify the following terms a) Intellectual capital versus physical assets b)Tacit knowledge versus Explicit knowledge c) community of practice and community of interest

There are two main company(A, B) in a market. Their products are identical. MC = $1/1...

There are two main company(A, B) in a market. Their products are identical. MC = $1/1 product. Qd = -1000P + 15000 (Demand curve) What is a payoff matrix by finding two company’s profit if two company make a cartel and split the market equally? What is a payoff matrix by finding two company’s profit if company A makes 1000 more product while company B keeps the previous agreement? What is the Nash equilibrium in the two situation? The cartel...

1)Bill, Jim, and Shelly are all looking to buy the same stock that pays dividends. Bill...

1)Bill, Jim, and Shelly are all looking to buy the same stock that pays dividends. Bill plans on holding the stock for one year. Jim plans on holding the stock for three years. Shelly plans on holding the stock until she retires in 10 years. Which one of the following statements is correct? 1. Bill will be willing to pay the most for the stock because he will get his money back in one year when he sells. 2. Jim...

Subjects