Differentiate between fixed and working capital requirements.

(tabular differentiation)

Fixed capitalWorking capital
Fixed capital is required for a longer time periodWorking capital is required for a shorter time period.
This is required to purchase assets that will remain permanently in the businessWorking capital is required for day-to day activities of business
For instance, capital requirement for the purchase of machinery, tools, etc.For instance capital requirement for the purchase of raw material

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