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Capital and Revenue - Income and Expenditure

Total questions: 8

Worksheet time: 4mins

Name
Class
Date
1.

Which of the following is a Revenue Expenditure

a)

Interest Received on Savings

b)

Rent Received from Tenant

c)

Purchasing Start-up Machinery

d)

Purchasing Raw Materials

2.

Which of the following is NOT capital expenditure for a T- Shirt factory?

a)

Shop Rent

b)

Office Furniture

c)

Purchasing Land

d)

Purchasing Machinery

3.

Revenue Expenditure is money spent on items in the day to day running of a business; (E.g Raw materials)

a)

True

b)

False

4.

Which of the following is NOT a revenue expenditure

a)

Cost of ink cartridges

b)

Purchase of paper

c)

Cost of printer mainainance

d)

Purchase of printer

5.

Which of the following would be considered Capital income?

a)

Monthly rent receieved

b)

Sales of fixed assets

c)

Discounts received

d)

Receipts from cash sales

6.

Which of the following best defines Capital expenditure?

a)

Amount spent on purchase of fixed assets

b)

Amount spent on running the day to day working of the business

c)

Amount invested by the owner

d)

Amount spent on maintenance of machinery

7.

Capital Expenditure is money spent by the business on non-current assets that will stay in the business for a reasonable period of time; (E.g Land)

a)

True

b)

False

8.

Which of the following is NOT an example of revenue Income

a)

Early Payment Discounts

b)

Cash from sales

c)

Owners Capital

d)

Interest Received