Give any three points of distinction between Capital Expenditure and R – InterviewSolution

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1.	Give any three points of distinction between Capital Expenditure and Revenue Expenditure
Answer» Capital Expenditure :- 1) The expenditure incurred in acquiring a capital asset or improving the capacity of an existing one, resulting in the extension in its life years. 2)Capital Expenditure Shown in Income Statement & Balance Sheet 3) Benefit of Capital Expenditure is enjoying more than one year. Revenue Expenditure : 1) Expenses incurred in regulating day to day activities of the business. 2)Revenue Expenditure Shown in Income Statement 3) Benefit of Revenue Expenditure is enjoying Only in current accounting year

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