Islane college has contracted a construction company to build a new bookstore. The heavy machinery and equipment that the contractor will use in the construction process are classified as:
A) credit.
B) human resources.
C) natural resources.
D) capital.

Question

Quizplus · Accepted Answer

The heavy machinery and equipment are considered capital because they are physical assets that are used in the production process. They are not human resources, which are the people involved in the construction process, and they are not natural resources, which are items such as wood, water, or minerals present in the environment. Finally, credit is the ability of a person or business to borrow money or access goods or services with the understanding that payment will be made at a later date, which is not relevant to the machinery and equipment in question.

Islane College Has Contracted a Construction Company to Build a New