Question

If repair cost is Rs.30,000, whitewash expenses are Rs.6,000, cost of extension of building is Rs.3,00,000 and cost of improvement in electrical wiring system is Rs.22,800; the amount to be expensed is:
(a) Rs. 3,58,800. (b) Rs. 52,800. (c) Rs. 36,000. (d) Rs. 3,30,000.

Answer 1

(c) Rs. 36,000.

Only repaid cost Rs 30,000 and whitewash expenses Rs 6,000 are revenue expenses,