management
management
CAPITAL
capital
A factory is considered capital in the factors of production. Capital is any good that was used to create other goods. Since the factory is not a natural resource it can't be land, since it's not the actual workers within the factory it can't be labor, so it has to be capital.
Labor (L)
management
labor
CAPITAL
capital
Capital Study islafd
A factory is considered capital in the factors of production. Capital is any good that was used to create other goods. Since the factory is not a natural resource it can't be land, since it's not the actual workers within the factory it can't be labor, so it has to be capital.
Labor (L)
Capital factor of production refers to the tools, machinery, buildings, and equipment used in the production of goods and services. An example of this would be a factory equipped with assembly lines and robotic machinery that produce automobiles. This capital investment enhances productivity and efficiency in manufacturing processes, enabling businesses to produce more at a lower cost.
capital
land
service
A tow truck is an example of capital.