why to ifferentiate between capital and revenue expenditure?
Answers were Sorted based on User's Feedback
Answer / mail
CAPITAL EXPENDITURE IS LONG TREM EXPENDITURE FOR LONG TREM
BENIFIT A COMPANY OR ORGANISTION, REVENUE EXPENDITURE IS
SHORT TREM EXPENDITURE FOR SHORT TREM BENIFIT. CAPITAL
EXPENDIURE ARE LIKE LAND BUILDING ECT. REVENUE EXPENDITURE
LIKE ADMINISTRATIVE EXP. ECT
Is This Answer Correct ? | 8 Yes | 0 No |
Answer / satheesh
Capital & Revenue expendeture both are different. We incur
capital expendeture for long-term obligation , revenue
expendeture for short-term obligations.
Is This Answer Correct ? | 4 Yes | 0 No |
Answer / teja
capital expenditure is the expenditure incurred on long
term assets which gives us long term benifit mainly results
in acquisition of an asset ex:expenditure incurred on
goodwill,copyright.where as revenue expenditure is incurred
on short term assets mainly to maintain the earning
capacity or productivity of a business ex:repairs,rent
Is This Answer Correct ? | 2 Yes | 1 No |
Answer / diwakar grover
CAPITAL EXPENDITURE
Outlay resulting in the increase or acquisition of an asset
or INCREASE in the earning capacity of a business
REVENUE EXPENDITURE
Outlay as is necessary for the MAINTENANCE of earning
capacity including the upkeep of the fixed assets in a fully
efficient state.
Is This Answer Correct ? | 1 Yes | 2 No |
Distinguish between sale and consignment
What is income tax,sales tax and vat?
define bank Draft
0 Answers State Bank Of India SBI,
What is Spin-off & spilts
Compute the sales tax amount on the following transactions: MRP rs 1000/- Sales Tax is 10% cess on sales tax is 5% Turnover tax is 1% on net turnover
What is the name of the first bank in India
what are athe accounting principles?
Chq of Rs- 50000 recived from sunil Traders
5 Answers Aventis Electronics,
WHERE ARE ISSUE H FORM?WHAT IS DIFFERED INCOME TAX AND WHERE IT SHOWS IN BALANCE SHEET?
what is the diff b/w manufactring a/c & trading a/c?
What do mean by sales ledger and sales account
what is Dual Accounting