Which of the following accounts is an Expense?

Loan taken from bank

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Machinery purchased for production

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Stock purchased for resale

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Electricity bill paid

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

Open in App

Solution

The correct option is D
Electricity bill paid

Out of all of the above, only Electricity bill paid is an expense. All the other are either liabilities or assets of the business.

Suggest Corrections

Similar questions

Prepare a simple cash book from the following information:

2011 Jan.
1.	Mr. Ashvin started business with cash Rs 95,000.
3.	Purchased furniture for office use Rs 17,500.
4.	Purchased goods worth Rs 11,000.
7.	Purchased machinery for Rs 15,000.
10.	Sold goods of Rs 14,300 to Sanket Traders for cash.
13.	Received from Suyash Rs 9,000.
15.	Withdrew Rs 2,500 from business for personal use.
19.	Borrowed loan from Mr. Trilok Rs 40,000.
22.	Purchased goods of Rs 14,000 at 5% trade discount.
26.	Paid salary to staff Rs 18,000.
29.	Paid carriage on goods purchased Rs 1,400.
30.	Paid electricity bill Rs 4,980.
31	Deposited into bank Rs 7,000.

Rectify the following errors:

(a)	Furniture purchased for Rs 10,000 wrongly debited to purchases account.
(b)	Machinery purchased on credit from Raman for Rs 20,000 was recorded through purchases book.
(c)	Repairs on machinery Rs 1,400 debited to machinery account.
(d)	Repairs on overhauling of secondhand machinery purchased Rs 2,000 was debited to Repairs account.
(e)	Sale of old machinery at book value of Rs 3,000 was credited to sales account.

Join BYJU'S Learning Program