(English Medium) ICSE Class 10 - CISCE Question Bank Solutions

A receipt is a capital receipt:

Rent received and commission received are examples of ______.

______ involves creation of liability and is shown on the liabilities side of the balance sheet.

Non-recurring receipts like additional capital, loan, etc. are ______.

Define Capital receipts.

Give two examples of Capital receipts.

What are revenue receipts?

Give three examples of Revenue receipts.

What do you understand by Turnover?

Distinguish between Capital Receipts and Revenue Receipts.

Amount received on sale of assets is a ______ receipt.

Amount received on sale of stock-in-trade is a ______ receipt.

Amount obtained from a customer previously written off as bad debt is a ______ receipt.

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.

Compensation received for the surrender of a right is a revenue receipt.

Any lump sum receipt is always a capital receipt.

Sale of securities by an investment company is a capital receipt.

______ is prepared to know the financial position where as ______ is prepared to ascertain the net profit or net loss.