Which of the following is an example of an economic activity that is part of the service sector?

• A. Extracting coal from a mine
• B. Growing wheat on a farm
• C. Manufacturing automobiles
• D. Providing legal advice to clients

Answer: (D)

Verified step by step guidance

1. Understand the definition of the service sector: It includes activities that provide intangible goods or services rather than physical products.
2. Identify the nature of each option: Extracting coal and growing wheat are primary sector activities involving natural resources; manufacturing automobiles is a secondary sector activity involving production of physical goods.
3. Recognize that providing legal advice is an activity that offers an intangible service, which fits the service sector definition.
4. Conclude that among the options, providing legal advice to clients is the example of an economic activity in the service sector.
5. Remember that the service sector typically includes professions like healthcare, education, legal services, finance, and hospitality.