Expenditures

This topic has 1 reply, 2 voices, and was last updated 4 years ago by John Moffat.

Viewing 2 posts - 1 through 2 (of 2 total)

Author

Posts
September 3, 2021 at 2:10 pm #634152
maximus07
Participant
- Topics: 446
- Replies: 437
Please help me classify these two expenditures into capital and revenue.

(A) A car bought and we immediately painted. What is painting expenditure classified as?
(B) We paint business logo on a car or signwriting on a car. Which expenditure it is?
September 3, 2021 at 4:46 pm #634174
John Moffat
Keymaster
- Topics: 57
- Replies: 54857
They are both capital expenditure.

(With (A) if we bought a car and then repainted it several years later, then the repainting would be revenue expenditure.)
Author

Posts

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.