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Fixed capital is financed through: -

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Question

Fixed capital is financed through:

Options

  • Equity shares

  • Preference shares

  • Debentures

  • All of these

MCQ

Solution

All of these

Explanation - 

Long-term sources of capital, such as stock or preference shares, debentures, long-term loans, and the business's retained earnings, can be used to fund fixed capital. Short-term financing should never be used to fund fixed assets.

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