Physical capital refers to _____.Multiple choice question.machinery, buildings and computersbank accounts, stocks, and other financial assets

1. Identify the Options

The options provided are:

1. Machinery, buildings, and computers
2. Bank accounts, stocks, and other financial assets

2. Define Physical Capital

Physical capital refers to tangible assets that a company needs to produce goods and services. This includes all physical objects that can contribute to the production process.

3. Analysis of Options

• Option 1: Machinery, buildings, and computers are all physical assets that aid in the production and operational processes of a business. These are essential for creating products and services.
• Option 2: Bank accounts, stocks, and other financial assets are not considered physical capital, as they are financial instruments rather than tangible items that aid in production.

4. Conclusion

Given the definitions and analyses, it is clear that physical capital is best represented by:

Final Answer

Machinery, buildings, and computers.