1511. Any expenditure incurred in achieving operating economy is known as :
A. Revenue expenditure
B. Current expenditure *
C. Capital expenditure
D. Capital receipt
1512. The cost of furniture purchased for sale is :
A. Revenue expenditure *
B. Capital expenditure
C. Deferred expenditure
D. None of these
1513. Cost of goods purchased for resale is an example of :
A. Capital revenue
B. Revenue expenditure *
C. Deferred revenue expenditure
D. Future expenditure
1514. Expenditure incurred in acquiring the patents right for the business is an example of :
A. Revenue expenditure
B. Deferred revenue expenditure
C. Capital expenditure *
D. Short term expenditure
1515. Freight paid on a new machine will be debited to :
A. Machinery account *
B. Freight account
C. Profit and loss account
D. None of these
1516. 5000 $ spent on the replacement of worn out parts of the machinery is charged to :
A. Capital expenditure
B. Revenue expenditure *
C. Expenditure
D. Deferred revenue expenditure
1517. Discount allowed on issue of shares is an example of :
A. Capital expenditure
B. Revenue expenditure
C. Deferred revenue expenditure *
D. Term expenditure
1518. 3000 $ spent on the repairs before using the second hand machinery purchase recently is a :
A. Revenue charge
B. Deferred revenue charge
C. Capital charge*
D. None of these
1519. Expenses incurred in manufacturing products is a :
A. Revenue charge *
B. Deferred revenue charge
C. Capital charge
D. None of these
1520. Heavy expenditure on advertisement of a new product is a :
A. Capital expenditure
B. Revenue expenditure
C. Current expenditure
D. Deferred revenue expenditure *