what isFixed Capital
Answers
Answer:
Fixed capital is capital or money that we invest in fixed assets. In other words, money that we invest in assets of a durable nature. These are assets that we repeatedly use over a long period. We can also use the term 'fixed investment' with the same meaning. ... So are plant and equipment.
Answer:
Explanation:
Fixed capital account method is that method in which the capitals of the partner’s remains fixed unless additional capital is introduced or a part of the capital is withdrawn as per the agreement or requirement of the partners and all other adjustments like share of profit or loss, interest on capital, drawings, etc. are recorded in a separate account which is called partner’s current account whereas fluctuating capital account method is that method in which only one account called capital account is maintained and all adjustments are like share of profit or loss, interest on capital, drawings, etc. are recorded in capital account of the partner.