Question

Give two examples of fixed capital

Answer 1

In national accounts, fixed capital is conventionally defined as the stock of tangible, durable fixed assets owned or used by resident enterprises for more than one year. This includes plant, machinery, vehicles and equipment, installations and physical infrastructures, the value of land improvements, and buildings.

Answer 2

Answer:

Explanation:Most tangible assets, such as buildings, machinery, and equipment, can be depreciated. However, land cannot be depreciated because it cannot be depleted over time unless it is land containing natural resources. An example of a company's fixed asset would be a company that produces and sells toys.