Question

intrest on capital invested in an example of​

Answer 1

Answer:

Interest on Capital has the following two effects on final accounts: It is an expense of the business, therefore; it will be recorded on the debit side of Profit and Loss Account. On the other hand, it is an income of the owner, therefore; it will be added in the Capital Account in Balance Sheet

Answer 2

Examples

↪Land & Buildings. The purchase of land and buildings for your business.

↪Construction. Any costs that go into constructing a building or structure is a capital investment.

↪Landscaping. Productive changes to land such as an irrigation system for a farm.

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