The distinction between purchase price and rental price applies to which factor(s) of production?
A)land only
B)capital only
C)land and capital only
D)land, capital, and labor

Question

Quizplus · Accepted Answer

Purchase price and rental price both refer to the cost of using land and capital, but not labor. Therefore, the distinction applies to the factors of production of land and capital only.

The Distinction Between Purchase Price and Rental Price Applies to Which