Question

Answer please!

1. Explain the difference between fixed
and working capital
2. Explain why fixed capital should be
kept at a minimum in relation to work-
ing capital
3. Describe three ways a person may be-
come an owner of a retail business
4. Describe the three classifications of
building equipment
5. Describe the kinds of information
lending agencies want when consid-
ering granting a
loan
6. Identify the major sources of capital
that are available to most store owners

Answer 1

Fixed capital is defined as the part of the total capital of the enterprise which is invested in long-term assets. Working Capital refers to the capital, which is used to perform day to day business operations. On the other hand, Working capital comprises of short-term assets and liabilities of the business.

Step-by-step explanation: