Modern industries are..............intensive in nature
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Answer:Modern industries are capital-intensive in nature.
Explanation:
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ANSWER:
Modern industries are capital intensive in nature.
EXPLANATION:
Capital intensive:
- Capital intense refers to those industries or businesses that require large amount of investment for the production of goods and services.
- Such industries have high percentage of fixed assets. Fixed assets include land, property and equipment.
- These industries are marked by high level of depreciation.
- To get adequate return on the investment, capital intensive industries require higher volume of production.
- Due to high operational leverage, these industries are more vulnerable to fluctuation in the economy as compared to labour-intensive industries.
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