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Commerce · Q2896

Accounting

Graduate and Post Graduate · Commerce · question 2896

Q2896

Which one of the following should be considered as a revenue expenditure?

A.
Rs. 1,000 paid for the erection of a new plant
B.
Cost of Rs. 10,000 incurred in increasing the sitting accommodation of a hotel
C.
Damages paid on account of breach of a contract to supply certain goods
Answer
D.
Repairs to machinery purchased second hand

Answer: Option C

Solution

Answer: Option C
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