Bank loans became costly and the company postponed buying a new machine. This is the effect of which dimension?

Correct answer: Economic dimension

The direct answer is option B: economic dimension. A costly bank loan usually means a higher interest rate or higher borrowing cost. Interest rates, credit availability, finance costs, and investment decisions are parts of the economic environment. The company postponed buying a machine because financing became expensive, so the immediate cause is economic. Option A, social dimension, concerns population, education, customs, and lifestyles; none caused the postponement. Option B is correct because the chain is: bank loan becomes costly, finance cost rises, investment becomes less attractive, and machine purchase is delayed. Option C, legal dimension, would involve a law, regulation, court order, or licence, but no such condition is given. Option D, technological dimension, would involve a new machine or production innovation; the question focuses on the cost of obtaining finance, not on the machine’s technology. Exam cue: interest, loan, inflation, income, prices, and purchasing power generally indicate the economic dimension.