Fixed capital refers to the assets or resources that are used in the production process and are expected to provide benefits over multiple periods, typically longer than one year. These assets are durable and long-term in nature, intended for use in the production of goods or services rather than being held for sale. Fixed capital includes physical assets such as buildings, machinery, equipment, vehicles, and infrastructure. These assets are essential for the functioning of a business or organization and are not typically converted into cash during the normal course of operations. Fixed capital investments are significant and often require substantial financial resources.
