Brianna102003 Brianna102003
  • 14-07-2017
  • Social Studies
contestada

What does capital formation occur by? (Select all that apply) saving, producing, investing, selling

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andriansp andriansp
  • 21-07-2017
Basically, the amount of capital that an entity have could be calculated with : Assets + Total Liability. So the answers would be:

Saving --> will increase assets from the interest
Producing--> your inventory is considered as an assets
Investing--> Directly increase your capital
Selling--> Bringing cash into company, which also considered as assets
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