Real investment refers to the investment undertaken for net addition to the ___________.
A
stock of inventory
No worries! We‘ve got your back. Try BYJU‘S free classes today!
B
stock of capital
Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses
C
stock of savings
No worries! We‘ve got your back. Try BYJU‘S free classes today!
D
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 C stock of capital Real investment refers to the allocation of a proportion of money
in stock of capital of the business like tangible assets etc. in expectation of receiving some
benefits in future in terms of money or kind like profits with the principle investment.