Question

Difference between Fix Capital and Working Capital.(In 3 Points)​

Answer 1

Answer:

Explanation:FIXED CAPITAL:

1. Fixed capital is the capital that is used for a long period of time and does not get exhausted.

2. Ex: Tools, buildings, etc;

3. It is usefull as it does not requried to be purchased again and again.

WORKING CAPITAL:

1. It is the capital that is exhausted easily and can not be used for long time.

2. Raw materials and money or income are common examples of working capital.

3. Working capital cannot be preserved for long time. It will get used by someway or the other.

Hope its useful!