BUSINESS ADMINISTRATION
FINANCIAL MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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True
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False
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Detailed explanation-1: -Long-term assets (also called fixed or capital assets) are those a business can expect to use, replace and/or convert to cash beyond the normal operating cycle of at least 12 months. Often they are used for years. This distinguishes them from current assets, which companies typically expend within 12 months.
Detailed explanation-2: -Fixed capital are assets of a business that are permanent in nature and are not intended to be disposed of by a business. These assets include land, buildings, plant, machinery, fixed equipment, furniture, fixtures, vehicles, livestock, etc.
Detailed explanation-3: -Fixed Capital. Fixed capital is the amount of investment done by a company in its long-term assets, as known as fixed assets.
Detailed explanation-4: -Fixed assets are long-term assets and are referred to as tangible assets, meaning they can be physically touched. Examples of fixed assets include: Vehicles like trucks. Office furniture.