IS THE BUSINESS AN ECONOMIC ACTIVITY?

BUSINESS IS AN ECONOMIC ACTIVITY

BECAUSE IT IS CONCERNED WITH THE CREATION OF WEALTH. IT IS CARRIED ON IN ORDER TO EARN A LIVELIHOOD.AS AN ECONOMIC ACTIVITY, BUSINESS INVOLVES THE SALE,TRANSFER OR EXCHANGE OF  GOODS AND SERVICES. PRODUCTION OR PURCHASE OF GOODS AND SERVICES FOR
PERSONAL CONSUMPTION OR FOR PRESENTING AS A GIFT DOES NOT CONSTITUTE BUSINESS.FOR EXAMPLE , IF A HOUSEWIFE COOKS FOOD FOR HER FAMILY,IT IS NOT BUSINESS BECAUSE NO SALE IS INVOLVED. ON THE OTHER HAND , IF SHE COOKS FOOD AND SELLS IT TO OTHERS, IT WILL BECOME BUSINESS PROVIDED IT IS DONE ON REGULAR BASIS AND WITH THE AIM OF EARNING PROFIT .