CBSE (Arts) Class 12CBSE
Share
Notifications

View all notifications

Giving Reason, State Whether the Following is a Revenue Expenditure Or a Capital Expenditure in a Government Budget: Expenditure of Building a Bridge. - CBSE (Arts) Class 12 - Economics

Login
Create free account


      Forgot password?

Question

Giving reason, state whether the following is a revenue expenditure or a capital expenditure in a government budget:

Expenditure of building a bridge.

Solution

Expenditure incurred on building a bridge is considered a capital expenditure because this expenditure creates an asset and reduces the liabilities of the government.

  Is there an error in this question or solution?
Solution Giving Reason, State Whether the Following is a Revenue Expenditure Or a Capital Expenditure in a Government Budget: Expenditure of Building a Bridge. Concept: Classification of Expenditure.
S
View in app×