Advertisements
Advertisements
प्रश्न
Define Capital expenditure.
What is meant by the term Capital Expenditure?
What is Capital Expenditure?
उत्तर
- Capital expenditure refers to the amount spent by a company on long-term assets, enhancing their working capacity, increasing their lifespan, generating future cash flows, or lowering production costs.
- Large expenditures are capitalised and distributed throughout the asset's useful life.
Notes
Students should refer to the answer according to their questions.
APPEARS IN
संबंधित प्रश्न
Expenses incurred for construction of a building are classified as ______.
Legal expenses incurred to purchase land are ______.
Which of the following is a capital transaction?
Expenditures incurred to acquire fixed assets are called ______.
Capital expenditure is incurred for ______.
Why is it necessary to differentiate between capital and revenue items in accounting?
State whether the following is Capital, Revenue or Deferred Revenue Expenditure.
Cartage paid on purchase of furniture.
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.
Which of the following are Capital Expenditure, Revenue Expenditure and Deferred Revenue Expenditure?
Cost of rehabilitating the operating efficiency of a used property acquired by the company.
Classify the following into capital expenditure and revenue expenditure.
Money spent on overhauling of office van.
