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How will you treat the following : as fixed or as circulating capital? (i) Factory buildings (ii) Machines (iii) Stocks of raw material lying in a factory (iv) A car owned by a taxi-driver

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Question

How will you treat the following : as fixed or as circulating capital?

  1. Factory buildings
  2. Machines
  3. Stocks of raw material lying in a factory
  4. A car owned by a taxi-driver
  5. Coal used in a factory
  6. Cotton used by a doctor
Classify
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Solution

Fixed Capital Circulating Capital
Factory buildings Stocks of raw material lying in a factory
Machines Coal used in a factory
A car owned by a taxi-driver Cotton used by a doctor
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Chapter 4: Factors of Production - QUESTIONS [Page 126]

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Goyal Brothers Prakashan Economic Applications [English] Class 10 ICSE
Chapter 4 Factors of Production
QUESTIONS | Q 16. | Page 126
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