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Q.

[[1]] capital is the stock of movable, long-term fixed assets that resident enterprises have kept or used for more than a year.


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Detailed Solution

Fixed capital is the stock of movable, long-term fixed assets that resident enterprises have kept or used for more than a year. Tools and machinery exist in various sizes and designs, ranging from farmers' ploughs to sophisticated machines like generators, turbines, computers, etc. Assets like tools, appliances, and buildings that may be used in production for a long time are referred to as "fixed capital." Fixed capital is the portion of a firm's total capital investment spent on material possessions like structures, vehicles, and equipment that stay with the company for longer than one accounting cycle.
 
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