Question

Which of the following is/are non-recurring in nature?

• A. Capital expenditure
• B. Revenue expenditure
• C. Deferred revenue expenditure
• D. All of the above

Answer 1

The correct option is A Capital expenditure

Capital expenditure is the money a company spends to buy, maintain or improve its fixed assets such as building, vehicle, land etc. These expenditures are not done on regular basis. Fixed assets are purchased for a long period of time say 10 to 15 years. So, these are non-recurring in nature.