Home › CBSE Class 11 (Commerce) › Accountancy › Introduction to Accounting › An expenditure whose benefit is exhausted within…
An expenditure whose benefit is exhausted within a year is also called
ACapital expenditure
BRevenue expenditure
COwner's drawings
DCash discount
Answer & Solution
Correct answer: B. Revenue expenditure
Such spending is treated as an expense, also called revenue expenditure.
Related questions
A trader sells stationery worth Rs 1,00,000 on credit to Mr. Ravi. Mr. Ravi is aMr. Sunrise starts with Rs 5,00,000, buys stationery worth Rs 1,50,000 from Mr. Peace on cSundry creditors are shown in the balance sheet on thePersons who owe the firm money for goods bought on credit areClosing stock of a manufacturing company comprises raw materials, finished goods andUnsold goods lying with a trader at the end of the period are calledTotal goods procured for use or sale, on cash and credit, are calledWithdrawal of cash or goods by the owner for personal use is