It is universally described as "capital good" all those equipment, buildings and facilities that are used by a company to produce and offer all its products or services; If we are talking about businesses that operate internationally, capital goods are all the expenses that companies have while they are operating, including office maintenance (rent, stationery) and employee uniforms.
Capital goods are an important factor in the economic development of a company, these financed structures are positioned within the group of expenses that a company owns annually; When the goods are used for a long period of time, such as any material thing, they suffer damage, at the moment they are defective they must be replaced or repaired, the cost of these modifications means a primary expense for the development of a business.
Within the list of capital goods in a company, it is generally mentioned: heavy machines (excavators, vehicles, etc.), office supplies (computers, printers), among others, which are characterized by requiring a large investment but their use it can be postponed for many years. In this way, all the products that are used for the manufacture of a final product can be defined as capital good, in other words they are not managed for the consumerism of their employees but are tools to generate more goods or services. Thanks to the possession of a capital good, you have the opportunity to maintain a return on the money spent on that material.Since they are elements destined to continue the lucrative process of a company thus increasing financial capital, a synonym for capital good is the term “fixed asset”, since it is considered as an asset that generates more assets.
