Over which component of investment do firms have the least amount of control?
A) purchases of new equipment
B) construction of new factories
C) changes in inventories
D) building new machines

Question

Quizplus · Accepted Answer

Firms have the least amount of control over changes in inventories because they are subject to external factors such as consumer demand and supply chain disruptions. The other options, such as purchasing new equipment and building new factories, are typically within the firm's control and can be strategically planned and executed.

Over Which Component of Investment Do Firms Have the Least