what is the difference between capital and revenue
expenditure
Answer Posted / yash mahendru
Treating an expense as Capital or Revenue expenditure is
depandant on the nature, type,period and benefits derived
from that expenditure.
If the expenditure incurred improves the effeciency of the
assets etc; it will be treated as Capital Expenditure.Any
expenditure incurred on the purchase of the assets is also
a Capital expenditure.
On the other hand, a revenue expenditure is the expenditure
incurred on rotine basis which does not enhance the
effeciency of the asset. example, general repair, rent
etc.
| Is This Answer Correct ? | 1 Yes | 1 No |
Post New Answer View All Answers
What is the mean of internal audit?
Explain the difference between internal audit and statutory audit?
What is the difference between internal audit and statutory audit?
What is non statutory audit?
What are objectives of internal audit?
What to do after the audit?
Explain the basic principles of an internal audit controlsystem?
What techniques used during an audit?
Please send me rbi previous exam paper with ans for group B at aparna_majumder@ymail.com
accounting & audit system of film production enterprises
Explain what are the different functions of internal audit?
What is vouching?
What is mean by error of submission? can u plz provide notes on this?
Why does a systems auditor need to use professional judgement when selecting audit procedures?
what is the PRPOER way of accounting salaries ETF EPF