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Classifying Capital vs Revenue Expenditure by Bisweswar Dash is a document available to read on EtoBox.

Raja Ram Ltd. incurred various expenditures during the removal of its factory to a new site. These included: (1) Rs. 47,500 spent on dismantling and reinstalling plant and machinery, which should be treated as deferred revenue expenditure; (2) Rs. 5,000 to remove stock, which is revenue expenditure; (3) An obsolete machine was sold for Rs. 5,000 and replaced with a new Rs. 24,000 machine, with the Rs. 10,000 difference charged as depreciation and the new machine capitalized; (4) Furniture was sold for Rs. 1

Author

Bisweswar Dash

Language

EN