Machinery, technology and building are examples of
(a) Capital growth
(b) Fixed capital
(c) Working capital
(d) Investment
Answers
Answer:
Capital growth (a)
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Machinery, technology and building are examples of...
(a) Capital growth
(b) Fixed capital
(c) Working capital
(d) Investment
The correct answer is :
(b) Fixed capital
Explanation :
Machines, technology and buildings are examples of fixed capital. Fixed capital is an asset that lasts for a long period of time. Such as land, building, plant, machinery, furniture, technology etc.
The investment made in fixed capital is considered a long-term investment and it is an investment made for long-term purposes. Its returns are also received in the long run. Examples of fixed capital are machinery, technology and buildings, land etc.
Capital development refers to that development in which capital growth continues with a continuous increase in output.
Working capital is used in production work in the form of human labour and raw material.
Investment is the capital invested in a business.
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