Difference between capital expenditure and revenue expenditure in simple language
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The examples of revenue expenditure are as under –
Wages & Salary,
Printing & Stationery,
Electricity Expenses,
Repairs and Maintenance Expenses, Inventory,
Postage,
Insurance,
taxes,
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Answer:
Capital expenditures are for fixed assets, which are expected to be productive assets for a long period of time. Revenue expenditures are for costs that are related to specific revenue transactions or operating periods, such as the cost of goods sold or repairs and maintenance expense.
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