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Wat is the diff.between revenue and capital expenditure?
Wat is meant by deffered revenue expenditure?
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Answer / vineeth
Expenditure which are capital in nature and are exhausted
over the life time of the asset are capitalised to the cost
of the asset.
Revenue expenditure are those expenditure the effect of
which are felt immeditaely like expentire incurred for
salary.
Deffered Revenue expenditure are those which are revenue in
nature but the effect of which are felt over the period of
2 to 3 years.
| Is This Answer Correct ? | 84 Yes | 17 No |
Answer / kishore
CAPITAL EXPENDITURE:-The nature of this expenditure is Non-
Recurring.
This expenditure should give long term benefit to the
organization.
EX:-Expenditure on acquisition of fixed assets, Expansions
of business. E.tc.
Revenue Expenditure:-Recurring in nature.
EX:-Petrol to a van.
| Is This Answer Correct ? | 66 Yes | 10 No |
Revenue expenditure with an incure the one accounting
period,and it non recoverable it generated current period.
eg:salaries,depreciation
Capital expenditure is a income genarated for long term.
that expenditure create a employment,aqusation of new
machenery, long term fixed asset.
eg:aquasation of machenery, wages.
Deffered revenue expenditure is a genarated morethan one
accounting period.generally it expanse 2-5 years.
eg:loss of money out of the business hours.
| Is This Answer Correct ? | 30 Yes | 14 No |
Answer / jolly
capital exp is non recurring in nature, occurs one time at
the time of incorporation of business
eg: building, plants and machinery
revenue exp is recurring in nature can occure several times
eg: fuels, raw material
deffered revenue exp: sometimes expenditure may be in the
nature of revenue, but it's benefit will be enjoyed by
subsequent year
eg:research and development exp
debentures
| Is This Answer Correct ? | 20 Yes | 7 No |
Answer / akriti
capital expenditure is the amount spend on assets which
will give long term benfits over number of accounting
periods.
eg. aquisition of plant, purchase of machinery.
revenue expenditure is the amount spend on assets which
will give benefit in the same accounting period.These
expenses are measured in the matching concept.
eg.fee of the yoga classes for the year.
| Is This Answer Correct ? | 9 Yes | 3 No |
Answer / kavita
REVENUE EXPENDITURE:-
---------------------
It is necessary for the sustenance of
earning capacity.
CAPITAL EXPENDITURE:-
----------------------
It results the increase or acquirement
of an asset.
DEFFERED REVENUE EXPENDITURE:-
-----------------------------
These are those expenditure
which have been incurred in an accounting period and they
do not create any assets but their benefit is spread more
then one accounting period.
| Is This Answer Correct ? | 10 Yes | 4 No |
Answer / kumar
capital expenditure is the expenditure for the core
expenses for business like purchasing of new machine
Revenue expenditure is that to maintenace of that the
machine
deffered revenue expenditure is that in future income but
its spend it now
| Is This Answer Correct ? | 13 Yes | 8 No |
Revenue expenditure with an incure the one accounting
period,and it non recoverable it generated current period.
eg:salaries,depreciation
Capital expenditure is a income genarated for long term.
that expenditure create a employment,aqusation of new
machenery, long term fixed asset.
eg:aquasation of machenery, wages.
Deffered revenue expenditure is a genarated morethan one
accounting period.generally it expanse 2-5 years.
eg:loss of money out of the business hours.
| Is This Answer Correct ? | 13 Yes | 10 No |
Answer / awusi
Revenue expenditure is all the sunk cost incurred in the
course of the day to day running of the organization.
Capital expenditure ,can be said as the transaction cost
incurred in course of installing fixed assets in the
organization.
| Is This Answer Correct ? | 7 Yes | 4 No |
Answer / r. kumar
The outflow of funds to acquired a new assets get the
benefit in business more than one accounting period is
known as capital expenditure.It is an expenditure on assets
which is not written off completely against income in the
accounting period in which it is incurred.
The outflow of funds to meet the running expenses in
business and it will be benefit for current year only is
known as capital expenditure.
The outflow of funds to written off an assets in future
period is known as capital expenditure.
| Is This Answer Correct ? | 2 Yes | 2 No |
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