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Why is miscellaneous expenditure regarded as asset in the balance sheet?
a
Is general fund falls under income and expenditure or balance sheet?
no
Where does capital expenditures fit in balance sheet?
Capital expenditure are those type of expenditure the benefits of which are taken in more then one years by the business entity. So according to this all fixed assets are capital expenditures and fixed assets are shown at asset side of balance sheet.
Why is it necessary to distinguish between capital and revenue expenditure?
Then only they find the real profit or loss and financial position of the businessBecause the capital expenditure will take place to Balance sheet and revenue expenditure will go to profit and loss account. Capital expenditure also called asset of the business. These expenditure also called non-recurring nature expenses.Revenue expenditure also called recurring nature expenses.
Where would The capital expenditure would appear on?
The capital expenditure would appear on the balance sheet of a company. It is typically listed under the category of "Property, Plant, and Equipment" or "Fixed Assets."
What are the differences between capital expenditure and revenue expenditure?
it must increase the value of the assets in must increase the capacity it must shown in the balance sheet must be depreciated amount must be comparatively huge
Why is it necessary to distinguish between capital and revenue?
Then only they find the real profit or loss and financial position of the businessBecause the capital expenditure will take place to Balance sheet and revenue expenditure will go to profit and loss account. Capital expenditure also called asset of the business. These expenditure also called non-recurring nature expenses.Revenue expenditure also called recurring nature expenses.
What are the 5 difference between capital expenditure and revenue expenditure?
it must increase the value of the assets in must increase the capacity it must shown in the balance sheet must be depreciated amount must be comparatively huge
Distinguish between capital and revenue expenditure?
Capital expenditure refers to an expense resulting in acquisition of an asset or increase in the earning capacity of a business. Revenue expenditure is defined as an expense that is essential for the maintenance of earning capacity of a business.
How do non profit making organizations prepare their final account?
By preparing Receipts & Payments Account, Income and Expenditure Account and a Balance sheet.
Do you include bank balances in income and expenditure report?
No, bank balances are not included in an income and expenditure report. This report focuses on the revenues earned and expenses incurred over a specific period, providing a snapshot of financial performance. Bank balances represent the current cash position and are typically reflected in a balance sheet rather than an income and expenditure report.
Is credit income or expenditure?
Credit is neither an income or an expenditure. It becomes an expenditure when you use it. expenditure
