A

Admin • 833.24K Points
Coach

Q. When wages are paid for installation of machinery, it is:

  • (A) Revenue expenditure
  • (B) Capital expenditure
  • (C) Deferred revenue expenditure
  • (D) Irregular expenditure
  • Correct Answer - Option(B)
  • Views: 28
  • Filed under category Accounting
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Explanation by: Admin

Installation cost is added to the machinery's value, hence capital expenditure.

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