Accounting Test Easy Mode

Sr. #	Questions	Answers Choice
1	Expenditure is revenue expenditure because	It is intended to benefit the current period The amount involved is small It is deducted from the gross sale proceeds None of these
2	Expenditure is a capital expenditure because	The amount involved is heavy It is the personal expenditure of the owner out of his capital It is intended to benefit the future period It is a recurring expenditure
3	An expenditure, which is temporarily increase the profit making capacity of the business is called	Deferred expenditure Capital expenditure Revenue expenditure Non-recurring expenditure
4	An expenditure, which is completely exhausted with in the current accounting period is known as	Deferred expenditure Revenue expenditure Future expenditure Non-recurring expenditure
5	Wages paid for the construction of building is an example of	Revenue expenditure Capital expenditure Recurring expenditure Short-term expenditure

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