From the following _______ are called as fixed capital.

Question

Question

This question was previously asked in

Telangana Police SI Mains Exam 2022 Official Paper 4

Answer 1

The correct answer is All of the above

Key Points

Buildings: These are physical structures used for production or other business purposes and are not consumed in the production process, making them fixed capital.
Machines: Machines are essential tools used in production, which are long-term assets and form part of the fixed capital.
Computers: Computers are used in various business processes and are treated as fixed assets, contributing to fixed capital.
Fixed capital: It refers to the assets that are not consumed during the production process and are used over a long period to generate profits for a business.

Important Points

Fixed Capital: It includes assets like buildings, machinery, equipment, and tools that are used repeatedly in production over several years.
Characteristics of Fixed Capital: Long-term use, not consumed in production, and provides utility over multiple production cycles.