passwella.
Menu

WAEC Economics 1998 Question 29

Question 29

National Income

The expenditure of a firm on goods and services for the expansion of its productive capacity is known as

  1. A.income
  2. B.investment
  3. C.savings
  4. D.profits
  5. E.interest
Show the answer and explanation

Answer: B (investment)

Explanation

Spending on capital goods to increase productive capacity is investment.