The document discusses the key factors of production in any business which are labor, capital, land, intermediate inputs, and business know-how. It defines each factor, with labor referring to workers and hours worked, capital as the physical assets, land as the actual ground used, intermediate inputs as goods and services purchased from other businesses, and business know-how as the knowledge and technology. The document also briefly mentions that production is the core of any business and defines a business cycle as fluctuations in overall economic output lasting several years.

1. Financial
Management
Armia P. Leonardo

2. AGGREGATE DEMAND
AND SUPPLY
Effect of change in:

3. Production
Core of any
business or the
HEART of
any business.

4. Five big categories
Labor
Capital
Land
Intermediate Inputs
Business know-how

5. labor
֎ refers to the input supplied by the
various types of workers that enable the
business to function.
֎ it can be measured either by
 The number of workers
 Total number of hours worked.

7. land
actual
ground used by
the business.

8. Capital

9. Intermediates inputs
refers to any goods and
services purchased from other
business and used up in production.

10. examples

11. Business know-how
includes all the
knowledge and
technology
necessary for
the production
process.

13. Business cycle
is a fluctuation in aggregate
economic output that last for several
years

15. Thank you for
listening!
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