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.
Question : Which of the following statement is incorrect?
Question : It is defined as excess of current assets over current liabilities. Which concept is highlighted in the given statement?
Question : It refers to that part of total capital which is required for holding current assets. Which concept is highlighted in the given statement?
Question : It is meant for making permanent or long term needs of the business. Which concept is highlighted in the given statement?
Question : ----------------- is a fund earmarked for investment in fixed assets or already invested in fixed assets. An example of a Fixed Assets Fund is a Building Fund & Amount invested in fixed assets during the year is transferred to a Capital Fund.
Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile