Managerial Economicsintermediate
Select ALL resources classified as intangible in the course material.
Answer
Operating procedures, Individual skills, Brand reputation
Explanation
### Why this is right
Operating procedures, skills, and reputation are non-physical assets that support operations. Factory equipment is a physical asset and is therefore tangible.
### The concept
Resources give an organization the capacity to pursue its goals. Tangible resources can be seen and measured as physical assets, while intangible resources are non-physical capabilities or assets. Managers should account for both when assessing what the organization can do.
### The other options
- **D. Factory equipment**: It is tangible because it is a physical asset that can be observed and measured.
### Terms
- **Intangible resource**: A non-physical asset, such as a skill or reputation, that contributes to organizational performance.
- **Tangible resource**: A physical asset, such as equipment, money, land, or raw materials.
### Remember
If a resource is non-physical but contributes to operations, classify it as intangible.
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