Question

Which of the following best exemplifies the relationship between a capital good and a consumer?a. A commercial baking oven and loaves of bread.b. A crane and a skyscraperc. A Caterpillar earth-moving front loader and its operatord. A brand new Dell computer and printer

Answer 1

Answer:

A

Explanation:

A capital good is a good that is used to produce another good. examples of capital goods are : tools, buildings, equipment

A consumer good is a good that is directly consumed by final end users e.g. food, clothing, jewellery.

The oven used to make bread is the capital good, while, the bread is the consumer good. Bread is sold to consumers