Question

What is fixed Capital & Working Capital? (2)​

Answer 1

Answer:

tools ,machine, buildings can ne used in production over many years are called fixed capital

Raw materials and money in hands are called working capital

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Answer 2

Answer:

1. Fixed capital is the portion of total capital outlay of a business invested in physical assets such as factories, vehicles, and machinery that stay in the business almost permanently, or, more technically, for more than one accounting period.

2.Working capital is a financial metric which represents operating liquidity available to a business, organization, or other entity, including governmental entities. Along with fixed assets such as plant and equipment, working capital is considered a part of operating capital.