Match List-I with List-II.
| List-I Factor services | List-II Factor payments | ||
| (A) | In lieu of contribution made by human labour | (I) | Interest |
| (B) | In lieu of contribution made by Capital | (II) | Profit |
| (C) | In lieu of contribution made by entrepreneurship | (III) | Rent |
| (D) | In lieu of contribution made by fixed natural resources | (IV) | Wage |
Answer & explanation
Correct answer: option 3
The correct answer is option (3) : (A)-(IV), (B)-(I),(C)-(II),(D)-(III)
The correct matgch between List - I (Factor services) and List-II (Factor payments) is as follows :
(A) In lieu of contribution made by human labor - (IV) Wage : Wage is the payment made in return for the contribution of human labor.
(B) In lieu of contribution made by capital- (I) Interest : Interest is the payment made in return for the contribution of capital.
(C) In lieu of contribution made by entrepreneurship - (II) Profit : Profit is the return to entrepreneurship, representing the reward for the risk-taking and innovation associated with entrepreneurship.
(D) In lieu of contribution made by fixed natural resources - (III) Rent : Rent is the payment made in return for the use of fixed natural resources.