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Capital and Revenue Items

Total questions: 10

Worksheet time: 3mins

Name
Class
Date
1.

In which of the following might revenue expenditure be used?

a)

purchase of machinery

b)

money spent for patents

c)

money spent on wages

d)

money paid for a franchise license

2.

Purchase of new computer for use in the office.

a)

capital expenditure

b)

revenue expenditure

c)

capital receipt

d)

revenue receipt

3.

Charges to install and set up the new computer in the office.

a)

revenue expenditure

b)

capital expenditure

c)

capital receipt

d)

revenue receipt

4.

Selling out of date machinery for $3,000.

a)

capital expenditure

b)

revenue expenditure

c)

capital receipt

d)

revenue receipt

5.

Selling old office furniture for $500.

a)

capital expenditure

b)

revenue expenditure

c)

capital receipt

d)

revenue receipt

6.

Owner invests $10,000 into the business.

a)

capital expenditure

b)

revenue expenditure

c)

capital receipt

d)

revenue receipt

7.

Goods bought for resale.

a)

capital expenditure

b)

revenue expenditure

c)

capital receipt

d)

revenue receipt

8.

Goods sold on credit to customers.

a)

capital expenditure

b)

revenue expenditure

c)

capital receipt

d)

revenue receipt

9.

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

10.

Which of the following is capital expenditure?

a)

heat and lighting

b)

stationery

c)

owners funds

d)

machinery