Credit is an essential requirement for every _______________.

productive activity

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

non-economic activity

No worries! We‘ve got your back. Try BYJU‘S free classes today!

household

No worries! We‘ve got your back. Try BYJU‘S free classes today!

none of the above

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is A productive activity
Credit is an essential requirement for every productive activity. Credit can be classified as productive and unproductive. Credit is a contractual payment where borrowers receive money or something of value and agrees to repay it later. Credit helps to increase the productive capacity.

Suggest Corrections

Similar questions

Q. _______ is an essential requirement for a plant to grow.

Q. What is the most essential requirement in a production process?

Q. Which of the following is not an essential requirement for a plant to grow?

Q. Answer the following is Yes or No:
(a) A business activity can be carried out without sale or exchange.
(b) Business involves the creation of utilities.
(c) A business activity may be without a profit motive.
(d) Risk is an essential element of every business activity.
(e) Earning profit is the sole objective of business.
(f) Business is an economic activity.
(g) Profession involves greater risk than business.

The company sells product A for Rs 65,000 on credit. The company receives a payment for the Rs 65,000 invoice above in cash. Which account shall be credited?

Join BYJU'S Learning Program