Question

Franky Ferguson has just reached a turning point in his business. He can no longer retain quality employees because he cannot meet his payroll, he does not have an adequate cash flow to pay his current bills, and he is three months behind in his loan payment to the bank. He must close the doors of this business.

The valuable skills and knowledge that Franky's employees possessed is known as ______.
a. financial capital
b. intellectual capital
c. monetary capital
d. knowledge capital

Answer 1

The skills and knowledge of Franky Ferguson's employees are known as intellectual capital, which differs from financial or monetary capital.

Step-by-step explanation:

The valuable skills and knowledge that Franky Ferguson's employees possessed is known as intellectual capital. This term refers to the intangible assets of a company, which include the expertise, knowledge, and experience of its workforce. Unlike financial capital or monetary capital, intellectual capital is not represented by money or financial assets but by the value that the employees bring to the organization through their skills and know-how.

The valuable skills and knowledge that Franky's employees possessed is known as intellectual capital.The valuable skills and knowledge that Franky Ferguson's employees possessed is known as intellectual capital. This term refers to the intangible assets of a company, which include the expertise, knowledge, and experience of its workforce. Unlike financial capital or monetary capital, intellectual capital is not represented by money or financial assets but by the value that the employees bring to the organization through their skills and know-how.