15 900 B. Question (a) The value of Gross Domestic Expenditure is: A. d. capital expenditures.4.Which of the following is an example of a capital expenditure? RE: Public finance - MCQs with answers -Aman tiwari (07/24/19) Give more mcqs; RE: Public finance - MCQs with answers -Chandar (08/25/17) Q2 is in the negative that is not in central list but answer is given for central list; RE: Public finance - MCQs with answers -Anindita Basak (03/12/17) Very nice questions for practice. Subjects. Answer. This document is highly rated by CA Foundation students and has been viewed 2456 times. Leadership. a. 1. Class 12 Accountancy MCQs Pdf. We have provided National Income Accounting Class 12 Economics MCQs Questions with Answers to help students understand the concept very well. (i) Revenue Expenditure. MULTIPLE CHOICE QUESTIONS 1. Accountancy MCQs for Class 12 Chapter Wise with Answers PDF Download was Prepared Based on Latest Exam Pattern. The monthly rental cost of an office building. The expired portion of capital expenditure is Answer: A Multiple choice questions. Multiple Choice Questions and Answers (MCQ) on Taxation System of India Question 1 : Income tax is the most important source of revenue in India. c) repair expenses of building. d. Records additional capital. A capital expenditure. Prelims + Mains Guidance Program. F. During the year ended 31 st December 2017, Exotic Fresh LLP carried out work on it’s property. 0. b. Marketing. CATEGORIES CRACK UPSC IN 200 DAYS. 1. Capital expenditure provides benefit (a) Very short term (b) Long term (c) Short term (d) All of the above 2. Cash discount is —– a) Which is allowed at the time of making the payment . a. Financial Statements of Not-for-Profit Organisations (N.P.O.) Which of the following items should be accounted for as a capital expenditure? Question (b) Indicate which of the following is capital expenditure or revenue expenditure. Built an extension to it’s existing property; Bought a new computer system for the business. Which of the following is true of a capital expenditure? A) It is an outlay made to replace current assets. MCQ Questions for Class 12 Economics with Answers were prepared based on the latest exam pattern. a. Management. Answer: (c) All Revenue and Capital Receipts and Payments Which one of the following statements concerning cash flow determination for capital budgeting purposes is not correct? asked Dec 22, 2018 in Business by kateranzweiler. Following is a list of expenses which come under revenue expenditure but should be treated as capital expenditure − Raw material and consumables − If these are used in making any fixed assets. Solution for Which of the following is a capital expenditure? Solution: Rs.5000 spent on maintenance of computer is Revenue expenditure. c. Is a credit like capital (owner’s equity). Installation and testing air conditioning in the extended property Accounting for Not for Profit Organisation Class 12 MCQs Questions with Answers. Redecorated the interiors in the entire property. Revenue deficit in India is: (a) Positive (b) Negative (c) Zero (a) Balanced. Identify whether each of the following types of expenditure are classified as capital or revenue expenditure. Which of the following is not a capital expenditure? b. revenue expenditures. d) advertisement expenses. Immediately after acquiring a new delivery truck, paid $195… Repair expenses Cost of extension to building Depreciation of machinery Electricity expenses. Free PDF Download of CBSE Accountancy Multiple Choice Questions for Class 12 with Answers Chapter 7 Issue of Shares. Free PDF Download of CBSE Accountancy Multiple Choice Questions for Class 12 with Answers Chapter 8 Issue of Debentures. Answer. In other words it is an amount spent to acquire or upgrade productive assets such as land, building, vehicles etc. How much amount will be shown in Income and Expenditure Account in the following case? The following are illustrative examples of capital expenditures. Check the below NCERT MCQ Questions for Class 12 Economics Chapter 8 National Income Accounting with Answers Pdf free download. a) Building b) Bank Balance c) Plant Patents d) Goodwill 55. a) Only 2 and 3 b) Only 1 and 4 c) Only 4 d) None of the Above. Adds to an asset. Economics. Sandeep Garg Class 12 Macroeconomics Solutions Chapter 10: Government Budget and the Economy are explained by the expert Economic teachers from the latest edition of Sandeep Garg Macroeconomic Class 12 textbook solutions. The basic concepts related to p& l a/c are: a) Realization Concept b) Matching Concept c) Cost Concept d) Both a and b above 56. Is expensed immediately. Which of the following is not a fixed asset? The assumption underlying the fixed installment method of depreciation is that of ____ of the asset over its useful life A) Equal usage B) Usage C) Charge CATEGORIES. View FR1- Income+expenditure -mcq.pdf from ACCOUNTS 123 at SKANS School of Accountancy (Abubakar Block Campus). menu. in order to increase the capacity or efficiency of a company for more than one accounting period. a. 31. We provide complete coaching for Commerece and Arts stream from Class 12 to Master Degree level. Identify each of the following items as either a capital expenditure (C), expense on the income statement (E), or neither (N) paid property taxes of $75,000 for the first year the new building is occupied. 3. 4. a) Wages . Accountancy MCQs for Class 12 Chapter Wise with Answers PDF Download was Prepared Based on Latest Exam Pattern. Free PDF Download of CBSE Accountancy Multiple Choice Questions for Class 12 with Answers Chapter 10 Financial Statements of Companies. About Kumar Nirmal Prasad Kumar Nirmal Prasad is the founder and CEO of Dynamic tutorials and Services. Dynamic Tutorials and Services is a Leading Coaching Centre of Tinsukia District. 1) Schools 2) Dams 3) Railway Lines 4) Weapon Purchases. An expenditure that neither creates assets nor reduces a liability is categorised as revenue expenditure. Start the Capital or Revenue Expenditure Quiz. Multiple Choice Questions. $85,700 b. Which of the following is NOT included in Capital expenditure. This is accounted for with an expense known as depletion. Accountancy MCQs for Class 12 Chapter Wise with Answers PDF Download was Prepared Based on Latest Exam Pattern. 54. If borrowing and other liabilities are added to the budget deficits we get ____: (a) Fiscal Deficit (b) Primary Deficit (c) Capital Deficit (a) Revenue Deficit. c) Received at the time of purchases of goods Land Land is a special type of capital expenditure as its value doesn't typically deprecate because it generally doesn't go down in value. Receipts and Payments Account generally shows : (A) A Debit balance (B) A Credit balance (C) Surplus or Deficit (D) Capital Fund. Receipts and Payments A/c is a summary of: (a) All Capital Receipts and Payments (b) All Revenue Receipts and Payments (c) All Revenue and Capital Receipts and Payments (d) None of the above. Accounting. Capital expenditure is the money spends to buy, maintain, or improve its fixed assets, such as buildings, vehicles, equipment, land etc. a tune-up of a company vehicle. Cartage and freight − If these are incurred to bring in fixed assets. Difference between Revenue Expenditure and Capital Expenditure. Students can solve NCERT Class 12 Accountancy Issue of Debentures MCQs Pdf with Answers to know their preparation level. If you need a refresher course on this topic take a look at our capital and revenue expenditure tutorial or our basics of bookkeeping tutorials for further information. Income tax is a) Direct and proportional b) Indirect and proportional c) Direct and progressive d) Indirect and progressive Answer : c Question 2 : Which one of the following taxes/cess is levied by states in India? This is the basis of classification between the two. The amount of capital that a company can issue at par value is called (A) Authorised capital (B) Share premium (C) Issued capital (D) Fixed capital 2. A depreciation tax shield is Lawson, Inc., is expanding its manufacturing plant, which requires an investment of $4 million in new equipment and plant modifications. 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