An entrepreneur launches an autonomous drone manufacturing company. She leases a plot of land for the factory, hires aerospace engineers to assemble the drones, and purchases advanced robotic machinery funded by a bank loan.
Which of the following correctly pairs an input of this business with its economic factor of production classification and its corresponding factor reward?
The robotic machinery is classified as Capital, and its factor reward is Interest.
The aerospace engineers are classified as Enterprise, and their factor reward is Wages.
The plot of land is classified as Capital, and its factor reward is Rent.
The entrepreneur's risk-taking is classified as Labour, and her factor reward is Profit.
31 exam-style questions on OCR A Level Economics The allocation of resources. Each one has a worked solution and a mark scheme showing where the marks go.