Q305
Which of the following is not an item of revenue expenditure?
A.
Interest on deposits accepted
B.
Annual insurance premium on inventory
C.
Customs duty paid in connection with the import of equipment
AnswerD.
Repairs and maintenance on machinery
Answer: Option C
Solution
Answer: Option C
Solution:
Customs duty paid in connection with the import of equipment is not an item of revenue expenditure. Customs duty paid on import of raw materials. It is capital expenditure.