the cost of using capital services is the ?
Correct answer: D. rental rate for capital
- A. wage rate of capital
- B. interest charges
- C. marginal capital cost
- D. rental rate for capital
Explanation
The rental rate of capital is the opportunity cost paid for using capital services during a period. Interest charges are one component of this cost, but the rental rate can also include depreciation and other ownership costs.
Report an error
The more specific you are, the faster it gets fixed. A source beats an opinion.
Prefer email? [email protected]
About Microeconomics
Individual consumers, firms and markets are examined through demand and supply, elasticity, consumer choice, production, costs, revenue and the determination of prices and output. The topic also covers market structures such as perfect competition, monopoly and oligopoly, plus market failure, externalities and the distinction between microeconomic decisions and economy-wide outcomes.
Practise Microeconomics
1,742 free Microeconomics MCQs from Economics, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Discussion
Stuck on an option, or know a faster way to get there? Ask or explain it here.
No comments yet. Be the first to explain this one.
Exams that ask Economics questions like this
Economics is on 3 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
More Microeconomics questions
The marginal revenue product of capital is the ?
In the short run, the supply of capital is ________ and in the long run will depend on _______?
Land will be allocated between competing uses so that ?
Efficiency wages are ____ that raise _____?
In the West Women and non-whites on average receive lower incomes than white men because ?
The most important source of wage differentials are ?