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Practice Questions
Test your understanding with targeted questions related to the topic.
Question 1
Easy
What are some components of fixed capital?
💡 Hint: Think about what physical assets a business needs.
Question 2
Easy
Why is fixed capital important for businesses?
💡 Hint: Consider how it affects how much a company can produce.
Practice 4 more questions and get performance evaluation
Interactive Quizzes
Engage in quick quizzes to reinforce what you've learned and check your comprehension.
Question 1
What does fixed capital primarily involve?
- Day-to-day expenses
- Long-term investments in assets
- Short-term liquidity
💡 Hint: Think about the kind of investments that last for a long time.
Question 2
Is machinery considered a fixed capital?
- True
- False
💡 Hint: Reflect on what helps in making products.
Solve 1 more question and get performance evaluation
Challenge Problems
Push your limits with challenges.
Question 1
A start-up needs to purchase equipment worth $200,000 and a building worth $500,000. What impact will this fixed capital investment have on its growth strategy?
💡 Hint: Consider how a solid foundation allows a business to grow.
Question 2
Evaluate the consequences of a business that delays purchasing essential fixed capital for two years.
💡 Hint: Think about how technology changes over time and the risks of falling behind.
Challenge and get performance evaluation