Factors of Production Quiz by Shubhrata Shrestha | May 21, 2025 | 0 comments Factors of Production Quiz 1. What is the reward for the factor of production 'capital'? A) Rent B) Profit C) Interest D) Wages None 2. Human capital includes which of the following? A) Tractors and factories B) Buildings and machines C) Land and water D) Skills and education None 3. Division of labour primarily leads to: A) Increased productivity B) Increased job switching C) Lower training costs only D) Decrease in capital needs None 4. Which of the following is NOT a feature of physical capital? A) Depreciates over time B) Man-made goods C) Tangible assets D) Intangible knowledge None 5. Which factor of production includes rivers, forests, and mineral resources? A) Labour B) Land C) Capital D) Enterprise None 6. Entrepreneurs primarily earn: A) Rent B) Wages C) Interest D) Profit None 7. Specialisation helps improve efficiency by: A) Making labour repetitive B) Reducing the size of the workforce C) Allowing individuals to focus on specific tasks D) Increasing the number of capital goods None 8. Which of the following is a characteristic of human capital but NOT physical capital? A) Used in production B) Tangible in nature C) Can depreciate D) Improves through education and training None 9. Which of the following would be considered part of capital? A) Gold stored underground B) A factory machine C) River water D) Sunshine None 10. The key function of an entrepreneur is to: A) Provide tools B) Perform physical labour C) Supply land for farming D) Organise and take risks None Time's up Submit a Comment Cancel replyYour email address will not be published. Required fields are marked *Comment * Name * Email * Website Save my name, email, and website in this browser for the next time I comment. Δ
