Fixed capital needed for ....... period-
(A) For short period (B) For long period
(C) For both
(D) None of these
Answers
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FOR BOTH I.E FOR SHORT ND LONG PERIOD
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Fixed capital needed for long period.
Option: (B)
Explanation:
- Fixed capital includes the assets and capital investments that consist of property, plant, and equipment which are needed to start up and run a business.
- It is a part of total capital that is invested in the business. It has a long term existence in the business to meet its long-term needs.
- It is used for purchasing fixed assets like land, building, plant, machinery, and more. It is also used for purchasing intangible assets like patents, copyrights, and more
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