Classification of human activities

A service is an activity or assistance performed for a customer rather than a physical item that the customer owns. Bicycle repair requires a person to use time and skill to restore or maintain the bicycle, so it is a service. A water bottle, school bag, and book are tangible products or goods that can be seen, touched, and owned. Therefore, option A is the only correct answer.

Goods are tangible products that can generally be seen, touched, stored, transferred, and owned by a customer. A pencil box is a physical product, so it is an example of goods. Haircutting, advice, and repair are activities performed by a person for a customer; their main output is a service rather than a physical product. Hence, option A is correct and the other three are service examples.

In wage employment, a person works under an employer or organisation and receives wages or salary in return for performing assigned duties. The employer generally organises the work and bears the business risk, while the employee does not normally own the business merely because of the job. Running one’s own enterprise, bearing its risk, or investing capital describes self-employment or business ownership. Therefore, option A is correct.

Self-employment means working for oneself and earning income from one’s own trade, profession, service, or productive activity rather than receiving wages from an employer. A self-employed person may also employ others, but the person is responsible for organising the activity and bearing its relevant risks. A government job is wage employment.