ACCA Strategic Business Leader (SBL) Practice Exam

Which of the following is NOT one of the six capitals?

1. Financial capital

2. Manufacturing capital

3. Urban capital

4. Intellectual capital

The correct answer is: Urban capital

The concept of the six capitals is a framework used to assess the value and sustainability of an organization in terms of its resources and relationships. Among the recognized capitals, financial, intellectual, natural, social and relationship, manufactured, and human capital are included. Financial capital refers to the funds available for use in the production of goods and services and encompasses both cash and liquid assets. Intellectual capital relates to the knowledge, skills, and innovative capabilities within an organization, contributing significantly to its competitive advantage. Manufactured capital represents the physical objects that a company uses in the production process, such as buildings and machinery. Urban capital, while it may refer to aspects like infrastructure and space in urban environments, is not part of this established categorization of capitals within the sustainability framework. The inclusion of urban capital as a formal category is not recognized in the same way as the other six capitals, making it the item that does not fit within this specific framework.