Quiz 55: Capital or Revenue Expenditure Quiz

Test your knowledge of mdct.ru with our capital or revenue expenditure quiz.

Accounting differentiates between two types of expenditure. Capital expenditure is expenditure relating to the purchase of non-current assets which are not for resale and are used within the business. Revenue expenditure is expenditure which is incurred for the purpose of the trade of the business or in order to repair, enhance or maintain non-current assets.

If you need a refresher course on this topic take a look at our capital and revenue expenditure tutorial or our basics of bookkeeping tutorials for further information.

Start the Capital or Revenue Expenditure Quiz

Identify whether each of the following types of expenditure are classified as capital or revenue expenditure. Click on an answer to reveal whether its Right! or Wrong

1. Is annual depreciation of plant and equipment capital or revenue expenditure?
Wrong
Right!
2. Identify between capital and revenue expenditure the purchase of new production machinery?
Right!
Wrong
3. Identify between capital and revenue expenditure the cost of equipment repairs?
Right!
Wrong

4. Is customs duty on the purchase of new equipment capital or revenue expenditure?
Right!
Wrong
5. Is production wages a revenue or capital expenditure?
Wrong
Right!
6. Are freight costs for the purchase of inventory capital or revenue expenditure?
Right!
Wrong
7. The installation costs of a new factory machine are classified as capital or revenue expenditure?
Wrong
Right!
8. The costs of repairs to equipment are classified as capital or revenue expenditure?
Right!
Wrong
9. Identify between capital and revenue expenditure the purchase of a new computer?
Right!
Wrong
10. Legal fees relating to the purchase of new head office premises for the business are classified as revenue or capital expenditure?
Right!
Wrong

Try Another mdct.ru Quiz

The capital or revenue expenditure quiz is one of many of our online quizzes which can be used to test your knowledge of mdct.ru, discover another at the links below.

Quiz 55: Capital or Revenue Expenditure Quiz August 12th, 2017Team

You May Also Like


Related pages


fifo process costingpresent value and annuity tablesaccrued payroll expensefinding payback periodpv of an annuity calculatoroutstanding rent journal entrysales and purchase ledgerscalculating lifo reserveutilization formula call centerdupont formula roehow do you calculate stockholders equityfreight collect definitionhow to write a general ledgerfv pv formulacalculating accounts receivable turnoverfixed asset impairment journal entrydays sales in recievablesfreight prepaid meansexample statement of retained earningsfactoring accounts receivable exampleobjective of bookkeepingaccrued salaries payablepresent value and future value formulasinventory on consignment accountingdifference between margin and markupcreditors control account definitionprofitability index calculationhow to calculate annuity paymentspresent value of annuity due formulapv of annuity duedefine deferred taxesdeferred income journal entryaccounts payable aging report samplewhat is triple column cash bookfair value journal entriesroce ratio calculationadjusting journal entries practicecalculate debtor daysaccumulated depreciation journal entriesigcse accounting worksheetshow to calculate manufacturing overhead applied to work in processsum of digits calculatorinterest receivable entryfixed manufacturing overheadclosing entries are dated in the journal as ofaccounts receivable segregation of dutiessum of digits calculatormarkup margin formuladegree of total leverage calculatorfreight journal entryaccounting equation isweighted average cost formula inventorywhat is weighted average contribution marginamortised cost meaningstock obsolescenceprepaid rent is an assetaccount receivable turnover days formuladisposal of fixed assets in balance sheetindustry average roacash accounting versus accrual accountingmatching accounting principleformula future value of an annuitypresent value of a growing annuityperpetual and periodic inventory system journal entriespmt rate nper pv fv typeprinciples of bookkeepingcalculate profitability indexconsumables examplesamortisation methodsimple payroll spreadsheetaccounting income summarystandard cost variance formulaincome statement balance sheet cash flow template excellower of cost and net realizable valuetrial balance and balance sheet example