Question

differentiate between capital and capital formation

Answer 1

$\huge\mathcal{Answer:}$

Capital generally refers to financial wealth which is used to start a business. It is an equity of a company. It is being used for making more money. ... On the other words capital formation means the net capital accumulation during an accounting period (i.e one year) for a particular country.

Answer 2

Answer:

hy

Explanation:

Capital formation involves a sacrifice of immediate consumption for obtaining more consumables goods in future while capital is that part of the current product which is used for further production instead of being immediately consumed.

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