Define fixed and working capital in terms for production for
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Explanation:
Working Capital refers to the capital, which is used to perform day to day business operations. Fixed capital investments include durable goods, which will remain in the business for more than one accounting period. On the other hand, Working capital comprises of short-term assets and liabilities of the business.
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Answer:
The factor which are used up in production are called working capital.
ex Raw material and money in hand
The factor of production like tools ,machine,building ,which can be used over many years, are called fixed capital
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