Categories the following as working or fixed capital by giving a reason (1) computer (2) raw material
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Answer:
1) computer
it is a fixed capital. a fixed capital is the products which can be used for years for the same purpose.here, the computer can be used in factories for several years.
2) raw materials
these are working capital. working capital are those which needs to brought for production time to time. these get used up. raw materials gets used up in production of things in factories
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Explanation:
computer it is big capital because it is used more than in 1 year
raw materials it is a working capital because in this it for example cement etc for making buildings
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