Accounting · Capital and Revenue Expenditure
Which of the following expenditures is typically classified as a deferred revenue expenditure?
- 1Amount spent on the construction of a railway siding for a factory
- 2Amount spent on dismantling, transporting, and reinstalling plant and machinery to a new and better site✓
- 3Amount spent on major structural alterations to a cinema hall that increases its seating capacity
- 4Amount spent on routine repairs of machinery
Correct answer
Amount spent on dismantling, transporting, and reinstalling plant and machinery to a new and better site
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