Question : It is the money invested in fixed assets which is to be used over a long period of time. Which capital is highlighted in the given statement?
Option 1: Working capital
Option 2: Fixed capital
Option 3: Capital structure
Option 4: None of the above
Correct Answer: Fixed capital
Solution : Fixed capital is the money invest in fixed assets which is to be used over a long period of time. Decisions to invest in fixed assets must be taken very carefully as the investment is usually quiet large.
Hence, option B is correct.