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Capital Expenditures is referred as amount of money needed to spend on capital items or fixed assets such as land, buildings, roads, equipment, etc. that are projected to generate income in the future. Capital expenditures to be budgeted include replacement, acquisition, or construction of plants and major equipment. Capital Expenditure Budget is plan prepared for individual capital expenditure projects.
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What is the format for capital expenditure budget?
The format for capital expenditure budget is to list all the expenditure with their estimates. The cost of capital assets and expenditure must be provided.
What is the difference between capital income and capital expenditure?
Income is money coming in, expenditure is money going out (spending).
Is salary a capital expenditure?
No. No capital asset results from it.
What is main difference between capital budget and revenue budget?
While the capital budget and revenue budget are both budgets, the capital budget is incorporated for the long term. A revenue budget is made for the short term.
What is a good budget?
A budget should be called a good one when it effectively strikes a balance between projected income and possible expenditure.
What is the format for capital expenditure budget?
The format for capital expenditure budget is to list all the expenditure with their estimates. The cost of capital assets and expenditure must be provided.
What is the format for capital expenditure?
The format for capital expenditure budget is to list all the expenditure with their estimates. The cost of capital assets and expenditure must be provided.
What are the difference between cash budgeting and capital budgeting?
capital expenditure budget is a part of cash budget.cash budget involves managerial activities while capital expenditure budget involves day to day activities may be for long range or short range
What are the objective and control of capital expenditure in business organisation?
The control of capital expenditure in a business organization is organizational control. This is often implemented through a budget program.
Why is a Capital Budget prepared separately from an Operating Budget?
There are two types of expenditure due to there time period of use. 1 - Capital Expenditure 2 - Revenue/Operating Expenditure As Capital Expenditure is utilize for more then one fiscal or accounting year that's why it's budgeting method is different and it is made for different items separately. Operating Budget is made for every year and evaluation is also made for yearly basis because operating expenditures are requires to allocate every year that's why both these budgets are made separately.
What percent rise in capital expenditure has been provided in Uttarakhand's budget for the year 2011-2012?
55%
Definition of budget deficit?
If the revenue is less than the expenditure, a budget is said to be in deficit. A budget is divided into 3: a. Surplus budget b. Deficit budget c. Balanced budget Surplus : REVENUE greater than EXPENDITURE Deficit : REVENUE less than EXPENDITURE Balanced : REVENUE equals EXPENDITURE
Is leasing a capital expenditure?
If it is finance lease then it is capital expenditure otherwise it s revenue expenditure
What is capital expenditure creditor?
Payable towards capital (equipments) expenditure.
What is a negative capital expenditure?
negative expenditure
Why capital expenditures are difference from normal day to day expenditure?
why capital expenditure are difference from normal day to day expenditure
What are the item's of capital expenditure and recurrent expenditure?
Recurrent or Revenue Expenditure are those expenditure the benefits of which are utilized by company in one single year and capital expenditure are those expenditure the benefits of which are utilized for morethan one fiscal year. Revenue expenditure Example: Inventory etc Capital Expenditure : plant, machinery, building etc.
