Which of the following options DO NOT relate to examples of revenue expenditure? a) Repair expenses b) Insurance expense c) Installation expenses d) Overhauling expenses of second-hand machinery
Only c and d
The correct answer is option 1. Installation expenses and overhauling of second-hand machinery are capital expenditures, not revenue expenditures. Revenue expenditures are typically associated with repairs, insurance, and maintenance that do not extend the life of the asset.
Similar Questions
Which among the following is a capital receipt?
Which of the following statement is INCORRECT about capital expenditure?
Important Questions from Capital & Revenue Account
The amount spent to increase the earning capacity of a business is:
Which among the following is a capital receipt?
Which of the following statement is INCORRECT about capital expenditure?
Which among the following is a capital receipt?
Which of the following statement is INCORRECT about capital expenditure?
