Q252
Expenditure incurred annually on renewal of patent is a
A.
Revenue expenditure
AnswerB.
Capital expenditure
C.
Financial expenditure
D.
Operating expenditure
Answer: Option A
Solution
Answer: Option A
Solution:
Expenditure incurred annually on renewal of patent is a Revenue expenditure. A revenue expenditure is a cost that will be an expense in the accounting period when the expenditure takes place.