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Explain the following term/concept: Fixed capital - Secretarial Practice

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प्रश्न

Explain the following term/concept:

Fixed capital

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उत्तर

Fixed capital is capital used to buy fixed assets that are used for a longer period of time in the business. These assets are not meant for resale. In simple words, fixed capital refers to capital invested in acquiring fixed assets. It stays in the business for a long period, almost permanently. Examples of fixed capital are capital used for purchasing land and buildings, furniture, plants and machinery, etc. Such capital is required at the time of the establishment of a new company.

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संबंधित प्रश्न

Distinguish between Fixed capital and Working capital.


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______ refers to any kind of fixed asset.


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The process of converting raw material into finished goods.


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Financial institutions and banks cater to the working capital requirement of business.


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The process of converting raw material into finished goods is called ______


Explain the following term/concept.

Fixed capital


Justify the following statement.

There are various factors affecting the requirement of fixed capital.


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Liberal credit policy creats a problem of bad debts.


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Fixed Capital and Working Capital.


Liberal credit policy creates a problem of bad debts.


Distinguish between the following.

Fixed Capital and Working Capital


Liberal credit policy creates a problem of bad debts.


Liberal credit policy creates a problem of bad debts.


Liberal credit policy creates a problem of bad debts.


Distinguish between the following.

Fixed Capital and Working Capital.


Distinguish between the following.

Fixed Capital and Working Capital.


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