Question No 11 Chapter No 17 - D.K Goal 11 Class

Question No 11 Chapter No 17

11. Classify the following expenses between Capital and Revenue stating reasons in each cases

Repair to a Second hand motor car purchased
The cost of registration of newly formed limited company
Spent Rs 6,000 as legal expenses for abuse of trade mark
A sum of Rs 50,000 was spent on dismantling removing and reinstalling plant machinery and fixtures.
Legal expenses incurred in defending a suit for breach of contract to supply goods
Temporary huts were constructed costing Rs 2,000. these were necessary for the construction of the cinema hall and were demolished when the cinema hall was ready

The solution of Question No 11 Chapter No 17: –

i	Capital Expenditure
ii	Capital Expenditure
iii	Reserve Expenditure
iv	Deferred Revenue Expenditure
v	Revenue Expenditure
vi	Capital Expenditure

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Also, Check out the solved question of all Chapters: –

Chapter 1 Evolution of Accounting & Basic Accounting Terms
Chapter 2 Accounting Equations
Chapter 3 Meaning and Objectives of Accounting
Chapter 4 Double Entry System
Chapter 5 Books of Original Entry – Journal
Chapter 6 Accounting for Goods and Service Tax (GST) (Coming soon)
Chapter 7 Books of Original Entry – Cash Book (Coming soon)
Chapter 8 Books of Original Entry – Special Purpose Subsidiary Books (Coming soon)
Chapter 9 Ledger (Coming soon)
Chapter 10 Trial Balance and Errors (Coming soon)
Chapter 11 Bank Reconciliation Statement (Coming soon)
Chapter 12 Depreciation (Coming soon)
Chapter 13 Bills of Exchange (Coming soon)
Chapter 14 Generally Accepted Accounting Principles(GAAP)
Chapter 15 Bases of Accounting
Chapter 16 Accounting Standards and International Financial Reporting Standard(IFRS) (Coming soon)
Chapter 17 Capital and Revenue
Chapter 18 Provisions and Reserves
Chapter 19 Final Accounts (Coming soon)
Chapter 20 Final Accounts – With Adjustments (Coming soon)
Chapter 21 Errors and their Rectification (Coming soon)
Chapter 22 Accounts from Incomplete Records – Single Entry System (Coming soon)
Chapter 23 Accounts of Not-for-Profit Organisations (Coming soon)
Chapter 24 Computerised Accounting System (Coming soon)
Chapter 25 Introduction to Accounting Information System (Coming soon)

Check out the Accountancy Class +1 by D.K. Goal (Arya Publication) from their official Site.