Amount obtained from a customer previously written off as bad debt is a ______ receipt. - Commercial Studies

Amount obtained from a customer previously written off as bad debt is a ______ receipt.

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Amount obtained from a customer previously written off as bad debt is a revenue receipt.

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Distinction Between Capital and Revenue Receipts

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Chapter 6 Capital and Revenue Expenditure/Income
EXERCISES | Q 1. (x) | Page 82

Distinguish between capital and revenue expenditure and state whether the following statements are items of capital or revenue expenditure:

Expenditure incurred on repairs and whitewashing at the time of purchase of an old building in order to make it usable.
Expenditure incurred to provide one more exit in a cinema hall in compliance with a government order.
Registration fees paid at the time of purchase of a building.
Expenditure incurred in the maintenance of a tea garden which will produce tea after four years.
Depreciation charged on a plant.
The expenditure incurred in erecting a platform on which a machine will be fixed.
Advertising expenditure, the benefits of which will last for four years.

Premium received on issue of shares is a ______.

Rent received and commission received are examples of ______.

Define Capital receipts.

What are revenue receipts?

Give three examples of Revenue receipts.

Amount received on sale of assets is a ______ receipt.

Premium paid on issue of shares is a capital receipt.

Compensation received for the surrender of a right is a revenue receipt.

Any lump sum receipt is always a capital receipt.