Question

replacement of worn Out part can done during​

Answer 1

Replacement of worn-out parts of a machine is known as Revenue Expenditure.

What is Revenue Expenditure?

• In simple words, it is known as the money that is being spent to run a business properly.

• These are short term expenses.

• These are the same as operating expenses.

• The main examples of expenditures are utility bills, rents, commissions, maintenance costs etc.

• This term is used in financial accounting.