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महाराष्ट्र राज्य शिक्षण मंडळएचएससी वाणिज्य (इंग्रजी माध्यम) इयत्ता १२ वी

Fixed capital is also referred as circulating capital.

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प्रश्न

Fixed capital is also referred as circulating capital. 

पर्याय

  • True

  • False

MCQ
चूक किंवा बरोबर
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उत्तर

The statement is False.

Explanation:

Long-term investments in land, buildings, machinery, and equipment with no immediate cash flow are called fixed capital. These support business processes. However, circulating capital includes short-term assets like inventories, raw materials, and cash that are consumed and renewed during the economic cycle. 

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Capital Requirements
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पाठ 1: Introduction To Corporate Finance - Exercises [पृष्ठ ११]

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बालभारती Secretarial Practice [English] Standard 12 Maharashtra State Board
पाठ 1 Introduction To Corporate Finance
Exercises | Q 1. D) 4. | पृष्ठ ११

संबंधित प्रश्‍न

Match the correct pairs: 

  Group 'A'   Group 'B'
(1) Working capital (a) Redeemed capital
(2) Equity share capital (b) Secretary
(3) Share warrant (c) Shares do not have distinctive numbers
(4) Recommendation of dividend (d) Fixed assets
(5) Fungibility (e)  The link between SEBI and Depository
    (f) Board of Directors
    (g) Registered document
    (h) Sum of current assets
    (i) Bearer document
    (j) Permanent capital

Select the correct answer from the options given below and rewrite the statement.

______ refers to any kind of fixed asset.


Select the correct answer from the options given below and rewrite the statement.

______ refers to the excess of current assets over current liabilities.


State whether the following statement is true or false.

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


Complete the sentence.

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


Answer in one sentence.

What is fixed capital?


Explain the following term/concept.

Fixed capital


State any four factors affecting fixed capital requirement.


Justify the following statement.

Fixed capital stays in the business almost permanently.


Fixed capital is also referred as circulating capital.


Explain the following term/concept in detail:

Overhead


Justify the following statement.

The nature of business affects the working capital requirement.


Distinguish between Fixed Capital and Working Capital.


Distinguish between Fixed Capital and Working Capital.


Explain the following term/concept:

Fixed capital


Distinguish between the following.

Fixed Capital and Working Capital


Liberal credit policy creates a problem of bad debts.


Distinguish between the following.

Fixed Capital and Working Capital.


Distinguish between Fixed Capital and Working Capital.


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