Which of the following is the factor payment received for the ability to give practical applications to ideas?
A)Rent.
B)Interest.
C)Wages.
D)Profit.
E)Capital.

Question

Quizplus · Accepted Answer

Profit is the factor payment received for the ability to give practical applications to ideas. Profit is the excess of revenues over costs and reflects the ability of entrepreneurs to take risks, innovate and create new products, services, and ways of doing business.

Which of the Following Is the Factor Payment Received for the Ability