QuestionJune 17, 2025

Which of the following is considered as an intangible resource of a firm? A The ability to raise external capital B The access to raw materials of production C The possession of patents to an invention D The managerial skills of an employee

Which of the following is considered as an intangible resource of a firm? A The ability to raise external capital B The access to raw materials of production C The possession of patents to an invention D The managerial skills of an employee
Which of the following is considered as an intangible resource of a firm?
A The ability to raise external capital
B The access to raw materials of production
C The possession of patents to an invention
D The managerial skills of an employee

Solution
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Answer

C The possession of patents to an invention Explanation 1. Define Intangible Resource Intangible resources are non-physical assets that contribute to a firm's value, such as skills, knowledge, and intellectual property. 2. Analyze Options A. Ability to raise external capital - Financial capability, not intangible. B. Access to raw materials - Physical resource, not intangible. C. Possession of patents - Intellectual property, an intangible asset. D. Managerial skills - Knowledge-based, an intangible asset. 3. Identify Correct Answer Both options C and D are intangible resources, but the question asks for one.

Explanation

1. Define Intangible Resource<br /> Intangible resources are non-physical assets that contribute to a firm's value, such as skills, knowledge, and intellectual property.<br /><br />2. Analyze Options<br /> A. Ability to raise external capital - Financial capability, not intangible.<br /> B. Access to raw materials - Physical resource, not intangible.<br /> C. Possession of patents - Intellectual property, an intangible asset.<br /> D. Managerial skills - Knowledge-based, an intangible asset.<br /><br />3. Identify Correct Answer<br /> Both options C and D are intangible resources, but the question asks for one.
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