Capital and Revenue Expenditures and Receipts-1

Rs.2500, spent on the overhauling on purchase of second hand machinery :

Which of the following is a revenue expenditure ?

Loss caused by theft of cash by cashier after business hours is a :

Share Premium is a :

Assertion : Damages paid on account of breach of contract to supply certain goods is a capital expenditure.

Reasoning : Such damages are incurred in the ordinary course of business:

Amount spent on increasing the seating capacity in a cinema hall is :

Capital expenditure provide _____ benefit:

An amount of Rs.30,000 spent on traveling expenses of the company’s director’s to a foreign trip for purchase of an asset to be used in the production process. This is a :

Recovery of Bad debt is a :

Amount spent on unsuccessful patent right is a :

Capital receipts are represented in :

Preliminary Expenses are an example of :

Brokerage on the issue of shares and debentures is a ______ expenditure:

What is the difference between deferred revenue expenditure and prepaid expenses ?

Machinery was purchased for Rs.10,000 and Rs.500 paid as wages for erection of machinery ? The account that should be debited is :

An old machinery is purchased for Rs.10,000. Installation charges of Rs.1,000 were incurred. Repairs to the old machinery = Rs.7,000 Repairs account will be debited by :

A truck was purchased and after sometime, the name of the company was painted on it for advertisement purpose for Rs.1,000/- this is :

Medium term loan obtained from bank for augmenting working capital is :

If repairs of Rs.100 are done on a machinery then which account will be debited ?

Heavy advertisement expenditure should be treated as :

Deferred Revenue Expenditure to the extent of not written off, is shown in Balance Sheet under the head :

Which of the following Expenses will not be included in the acquisition of plant ?

A new machine was purchased in Delhi and brought to Jaipur factory site for installation. The machine was damaged during transit and repair expenses were incurred amounting to Rs.20,000. Such repair will be treated as :

Revenue Expenditure wrongly recorded as Capital Expenditure will result in :

Expenditure incurred of Rs.20,000 for trial run of a newly installed machinery would be :

Renewal fee for patent is a :

Deepawali advance given to employees is _____ .

The total of discount column on the debit side of the cash book is, posted in the :

The unexpired portion of capital expenditure is shown in the financial statements :

Insurance claim received on account of machinery damaged by fire :