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प्रश्न
Define Capital receipts.
What is meant by capital receipts?
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उत्तर
- Capital receipts result from the sale of a capital asset and refer to amounts received from proprietors in the form of capital or loans.
- Capital receipts are an item on the balance sheet, not the profit and loss account.
Notes
Students should refer to the answer according to their questions.
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संबंधित प्रश्न
Distinguish between capital receipt and revenue receipt.
Distinguish between capital and revenue expenditure and state whether the following statements are items of capital or revenue expenditure:
- Expenditure incurred on repairs and whitewashing at the time of purchase of an old building in order to make it usable.
- Expenditure incurred to provide one more exit in a cinema hall in compliance with a government order.
- Registration fees paid at the time of purchase of a building.
- Expenditure incurred in the maintenance of a tea garden which will produce tea after four years.
- Depreciation charged on a plant.
- The expenditure incurred in erecting a platform on which a machine will be fixed.
- Advertising expenditure, the benefits of which will last for four years.
Write any two differences between capital and revenue Receipts.
Fees and commission received for services rendered, interest and dividend received an investment are examples of ______.
Give two examples of Capital receipts.
Distinguish between Capital Receipts and Revenue Receipts.
A receipt is a capital receipt because ______.
Premium paid on issue of shares is a capital receipt.
A receipt in substitution of an income is revenue receipt.
Any lump sum receipt is always a capital receipt.
