Answer:
Expert Verified Answer
Step-by-step explanation:
The solar-powered reverse-osmosis (RO) water plant would likely fall under the category of "durable goods" or "capital goods."
Durable goods, also known as consumer durables, are goods that are expected to last for a period of three years or more. Capital goods, on the other hand, are goods used in the production of other goods and services and are expected to last for several years.
The characteristics of durable goods include:
Long-lasting and expected to last several years
High initial cost
Typically used for personal or household consumption
Often purchased infrequently
Can appreciate in value over time
The characteristics of capital goods include:
Long-lasting and expected to last several years
High initial cost
Used in the production of other goods and services
Often purchased by businesses or industries
Depreciate in value over time as they are used up in the production process.
Given that the solar-powered RO water plant is expected to last for several years, is used in the production of water for personal or household consumption, and has a high initial cost, it is likely to fall under the category of durable goods.