Which of the following is an example of a 'fixed resource' in production?

₹0.0

Question: Which of the following is an example of a \'fixed resource\' in production?

Options:

Correct Answer: Machinery.

Solution:

Machinery is considered a fixed resource as it does not change with the level of output in the short term, making option 2 correct.

Which of the following is an example of a 'fixed resource' in production?

Which of the following is an example of a 'fixed resource' in production?

Step 1: Understand what a 'fixed resource' is. A fixed resource is something that does not change when the amount of goods produced changes.
Step 2: Think about examples of resources in production. These can include things like labor, materials, and machinery.
Step 3: Identify which of these resources is fixed. For example, machinery is used to produce goods and does not change based on how much is produced in the short term.
Step 4: Conclude that since machinery remains constant regardless of production levels, it is a fixed resource.

No concepts available.