What is Deferred Capital Expenditure / Deferred Revenue
Expenditure
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Answer Posted / narasimhaprasad
deferred expenditure means an expense that is paid before
the corresponding benefit is fully received, such as a
prepaid insurance premium. For accounting purposes, the
expense is listed as an asset until the paid-for benefit is
obtained, and is usually prorated over a number of
subsequent accounting periods,
as deferred Capital expenditure is benefit for more than as
investment is occurred- eg: Staff sales, Allowance, Perqs,
and deferred revenue expenditure is benefit for the
requirement full filled, that purpose can't be continue for
long life eg: Traveling expenditure for camp/tour program,
meals and drinks on office purpose.
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