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प्रश्न
Classify the following into Capital, Revenue and Deferred Revenue Expenditures, reason for your answer.
Temporary huts built at a cost of ₹ 3,000 for construction of factory buildings. The huts were demolished when the factory building was ready.
उत्तर
Capital Expenditure
Reason:
It is spent on building a fixed asset.
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संबंधित प्रश्न
Expenditure incurred ₹ 20,000 for trial run of a newly installed machinery will be ______.
______ is an example of Capital Expenditure.
Match the Column I and Column II:
| Column - I | Column - II | ||
| (a) | Capital Expenditure | i | Repairs costing ₹ 600 carried out on a boiler. |
| (b) | Revenue Expenditure | ii | Advertising expenses ₹ 25,000 incurred for launching a new product in the market. |
| (c) | Deferred Revenue Expenditure | iii | Interest received. |
| (d) | Revenue Receipts | iv | A sum of ₹ 15,000 spent on the overhauling of a second-hand delivery van. |
Define Capital expenditure.
Explain the rules for deciding whether an expenditure is of capital nature.
______ expenditure is an expenditure benefiting the future period.
Any expenditure which is unreasonably heavy is capital expenditure.
State whether the following expense is Capital or Revenue.
Cost of raising a loan.
In the following case indicate the amount to be debited as Capital Expenditure and Revenue Expenditure:
₹ 5,000 paid as brokerage and ₹ 2,500 other expenses on issue of shares.
Classify the following:
Amount paid to an engineer for installation of machinery.
