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Q.

Resources used in production like tools, machines, and buildings are considered as:

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a

Working Capital

b

Fixed Capital

c

Human Capital

d

None of these

answer is B.

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Detailed Solution

Resources used in production, like tools, machines, and buildings, are considered fixed capital. Capital is an important factor in production. It is essential for any production factor. There are two types of capital: working and fixed capital. The resources made in the initial phase and are long-term investments are called fixed capital. This includes tools, machines, and buildings that are required for production. The other working capital consists of the money needed for day-to-day transactions.

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