Asked by Tanya Koretska on Jul 26, 2024
Verified
Revenue expenditures are also called balance sheet expenditures.
Revenue Expenditures
Operating expenses that are fully expensed in the accounting period when incurred and primarily related to the maintenance and repair of assets.
Balance Sheet Expenditures
Expenses that are reflected in the balance sheet, usually through an adjustment of assets or liabilities.
- Discern between expenditures on capital and revenues.
Verified Answer
MF
Muhammed Furkan ?ahinAug 01, 2024
Final Answer :
False
Explanation :
Revenue expenditures are expenses related to day-to-day operations of a business or organization, such as salaries, rent, and utilities. They are recorded on the income statement as an expense and do not appear on the balance sheet. The term "balance sheet expenditures" is not commonly used in accounting.
Learning Objectives
- Discern between expenditures on capital and revenues.
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