Which of the following expenses should not be treated as capital expenditure?

Auditing Mcqs

Which of the following expenses should not be treated as capital expenditure?

(A)  Expenses paid on installation of a plant.

(B)  Cost of dismantling a building in case a new building is to be constructed on the land

(C)  Legal expenses incurred to defend a suit related to title of patent.

(D)  The fees paid to engineer who constructed the plant.

Submitted By :Ali Uppal

---

Share this...

Facebook

Twitter

Linkedin

Whatsapp

---

IF YOU THINK THAT ABOVE POSTED MCQ IS WRONG.

PLEASE COMMENT BELOW WITH CORRECT ANSWER AND ITS DETAIL EXPLANATION.

---

Related Mcqs

• Previous:If the book value of an asset stands at________per cent of the original cost, a company need not provide depreciation on it.
• Next:Who is responsible for the appointment of statutory auditor of a limited company ?

---

Leave a Reply

Your email address will not be published. Required fields are marked *