Question

Imagine you are starting a dairy business .what are the 5 capitals that are required?

Answer 1

Answer:

India , Dubai , American , Africa , Australia

Explanation:

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Answer 2

Characteristics of Capital:

1. Capital is productive like machines, tools etc.

2. Capital is the product of labour used in the past.

3. Capital earns profits like shares, bonds, securities.

4. Capital is non-permanent like machines have to be reproduced but the land in sense is permanent.

Factors Affecting Capital Requirements:

•Price of land.

•The number, quality and variety of farm equipments.

•Size of operating expenses—labour, herd etc.

•Personal factors—Standard of living, size of family.

•Climatic factors—in relation to type of farming.