State whether the following statements are true of false. Give reasons for your answer : (a) Capital formation is a flow. (b) Bread is always a consum

Question

State whether the following statements are true of false. Give reasons for your answer : (a) Capital formation is a flow. (b) Bread is always a consum

State whether the following statements are true of false. Give reasons for your answer :
(a) Capital formation is a flow.
(b) Bread is always a consumer good.
Buuter is only a final product.

Monjur Alahi

7 views

2025-01-04 04:42

1 Answers

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Salim Ahmed Kawsar · Accepted Answer · 2023-02-05T15:29:48+06:00

(a) True. Capital formation is measured over a period of time.
(b) False. It depends on the use of bread. When it is purchased by a household, it is a consumer good. If it is purchased by hotel, it is a producer (intermediate) good.
(c) False. It depends on the end use of butter. If it is purchased by a baker cakes, then it is an intermediate good.