Capital

Which of the following is the most accurate definition of capital

• refers to human resources

• refers to the earth and all its natural resources

• refers to man-made resources

• refers to the idea or skill of the entrepreneur

Which of the following is the most accurate examples of capital

• labour, machines, stock

• money, natural resources, stock

• money, machinery, stock

• money, labour, vehicles

Capital in the business for a long period is referred to as

• Venture capital

• Fixed capital

• Working capital

• Human capital

Capital used in the daily running of the business is referred to as:

• working capital

• fixed capital

• venture capital

• human capital

The equation for 'working capital' is:

• Current assets + Current liabilities = Working Capital

• Current assets - Current liabilities = Working Capital

• Current assets x Current liabilities = Working Capital

• Current assets / Current liabilities = Working Capital

Current assets refer to the

• These are the liabilities that cannot be collected easily

• These are the long term assets

• These are the assets that can easily be turned into cash

• These are all the assets the business currently owns

Current liabilities are most accurately defined as:

• assets that can easily be turned into cash

• debts that can easily be paid off in less than a year

• debts that would be paid off in five years

• businesses owed

Capital invested by persons interested in giving the business a boost over a period of time while gaining something from the investment

• boost capital

• venture capital

• working capital

• fixed capital

One of the good things of using more capital in production is

• The job gets done faster

• It takes a longer time to produce

• More persons are employed

• There is the use of more machinery

One disadvantage of the use of more capital is

• more machinery use

• more labour use

• less persons are being employed

• the use of more money