Economics 9708 · AS & A Level · Factors of production

Factors of production — practice question

Arfan and his brother Ben jointly own and manage a fishing business. They have one boat, and on the days when they go fishing they hire Cephas and Dipak. They sell the fish to the proprietor of a nearby shop. Which row correctly identifies the factors of production involved?

  • Aland: shop; labour: Arfan and Ben; capital: money paid for the fish; enterprise: shop owner
  • Bland: shop; labour: Cephas and Dipak; capital: boat; enterprise: Arfan
  • Cland: the fish; labour: Ben; capital: money paid for the fish; enterprise: shop owner
  • Dland: the fish; labour: Cephas and Dipak; capital: boat; enterprise: Arfan and Ben

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