What are the types of capitals ,Explain each
Answers
Answer:
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Capital
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All those man-made goods which are used for production are called Capital.
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Types of Capital
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1.Fixed or cirulating capital :-
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Fixed capital is a type of capital which is used again and again for production of goods. Ex-Machienery, furniture.
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Ciruclating Capital :-
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On the other hands it refers to those goods qhich are used in production only once.
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2.Sunk capital and floating capital :-
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The capital which is put to only for single use.It must continue ro be used for a particular purpose known as Sunk capital.
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Floating Capital :-
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On the other hands, it is a type of capital which can be put to severl uses.
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Internal and external Capital :-
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The capital which is for domestic savings of a country. Ex- savings, firms
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External capital :-
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The capital which is imported abroad and used by the recipient country is known as External capital. Ex-world Banks.
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