Fixed capital requirements of a manufacturing concern are:
a. Same as that of a trading concern
b. Are more than that of a trading concern
c. Are less than that of a trading concern
d. None of the above
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Answer:
option b
Explanation:
are more than that of trading concern
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Fixed capital requirements of a manufacturing concern are more than that of a trading concern.
To begin the business, reserves are needed to buy fixed resources like land and building, plant and hardware, and furniture and apparatuses. This is called the fixed capital requirements of the endeavor. The subsidies needed in fixed resources remain put resources into the business for an extensive stretch of time. Different specialty units need a shifting measure of fixed capital relying upon different factors like the idea of the business, and so on.
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