Question

increase in stock of capital is know as​

Answer 1

Answer:

An increase in the total capital stock showing on a company's balance sheet is usually bad news for stockholders because it represents the issuance of additional stock shares, which dilute the value of investors' existing shares.

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Answer 2

Increase in stock of capital in any economic is known as Capital Formation.

Explanation:

• In Economics,from a production point of view,capital basically refers to the physical factors/inputs of production used in the production of goods and services in any economy.
• Example of physical or capital factors/inputs of production commonly includes machinery,physical tools and equipment,factory machines that essentially contribute to the entire production mechanism of any country or economy.
• Capital formation refers to the insertion of additional capital or physical factors/inputs of production into the existing capital stock of any country or country in a specific period of time.
• Hence,capital formation refers to the expansion of the existing capital stock or resources of any country or economy thereby,signifying more availability of physical machines,machinery,tools and equipment which can be further mobilized for production purposes.