Which term describes assets used in production that are not consumed quickly, such as machines and money?

• A. Natural Resources
• B. Labor
• C. Capital Resources
• D. Human Resources

Answer: (C)

In production, resources are grouped into three main types: land/natural resources, labor, and capital. Capital resources describe assets used in the production process that aren’t consumed in a single use—things like machines, tools, buildings, and money used to fund operations. These are maintained and reused over time, boosting output and efficiency, rather than being the raw materials themselves that get used up quickly. Natural resources are the raw materials taken from the Earth, which are consumed or transformed during production. Labor is the human effort involved. Human resources refers to people and their skills, not the physical assets used to produce goods. So the term that fits assets like machines and money is capital resources.