| 1 |
An expenditure, which is temporarily increase the profit making capacity of the business is called |
- A. Deferred expenditure
- B. Capital expenditure
- C. Revenue expenditure
- D. Non-recurring expenditure
|
| 2 |
Preliminary expenses paid in the formation of a company is a |
- A. Capital expenditure
- B. Deferred expenditure
- C. Revenue expenditure
- D. Capital loss
|
| 3 |
An expenditure, which increases the utility or productive capacity of an asset is treated as |
- A. Revenue expenditure
- B. Capital expenditure
- C. Deferred expenditure
- D. None of these
|
| 4 |
It is the price of goods sold or services provided by a business to its customers |
- A. Asset
- B. Cost
- C. Capital
- D. Revenue
|
| 5 |
Expenditure, which helps to maintain the business efficiency is called |
- A. Revenue expenditure
- B. Deferred expenditure
- C. Capital expenditure
- D. Future expenditure
|
| 6 |
Expenditure is a capital expenditure because |
- A. The amount involved is heavy
- B. It is the personal expenditure of the owner out of his capital
- C. It is intended to benefit the future period
- D. It is a recurring expenditure
|
| 7 |
Bad debts are |
- A. Deferred expenditure
- B. Revenue expenditure
- C. Capital expenditure
- D. None of these
|
| 8 |
Transaction, having short-term effects are known as |
- A. Revenue transaction
- B. Capital transaction
- C. Non-monetary transaction
- D. Paper transaction
|
| 9 |
All revenue expenditure are taken to |
- A. Trading a/c
- B. Trading & profit or Loss a/c
- C. Profit or loss a/c
- D. Balance sheet
|
| 10 |
The amount invested by the owner in the business to produce revenue is known as |
- A. Income
- B. Asset
- C. Capital
- D. Liability
|
