Capital and Revenue Transactions

Transactions are classified into how many types in this chapter?

The two types of transactions are:

Capital transactions provide benefits for:

Revenue transactions occur:

Capital transactions occur:

The amount of capital transactions is generally:

The amount of revenue transactions is generally:

Profit and loss of a business depend largely on:

Transactions can be classified into:

Receipts that are irregular, big in amount, with benefits more than a year are:

Examples of capital receipts include:

Capital income is:

Old machinery (book value Tk.65,000) sold for Tk.80,000. Capital income is:

Old machinery sold for Tk.80,000. Capital receipt is:

Capital income occurs:

Mr. Ratan bought land for Tk.2,80,000 and sold it for Tk.4,00,000 in 2025. Capital income is:

Mr. Ratan: capital receipt from sale of land for Tk.4,00,000 is:

All non-recurring expenditures whose benefits are enjoyed for more than one year are:

Examples of capital expenditure include:

New parts worth Tk.10,000 added to old machinery to extend its life is treated as:

Expenses that increase the life or volume of an asset are:

Registration expense of land purchased for business is:

Import duty on goods for business purposes is:

Construction of building is:

Transportation cost of newly purchased machine is:

Purchase of furniture is:

Purchase of equipment for business use is:

Which of the following is a capital expenditure?

Receipts collected at regular intervals with benefits expiring within a specific period are:

Examples of revenue receipts include:

Revenue income is:

Rent received Tk.50,000 in 2024 of which Tk.10,000 belongs to 2025. The 2024 revenue income is:

Rent received Tk.50,000 in 2024 of which Tk.10,000 belongs to 2025. The 2024 revenue receipt is:

Sale of goods is classified as:

Interest on investment is:

Dividend from investment in shares is:

Commission received in exchange of service is:

The recurring payments to run the business with utility expiring in a short time are:

Examples of revenue payments include:

Revenue payments do not acquire assets but contribute to:

Revenue expense is:

If maintenance expense of fixed asset does not affect lifetime, it is recorded as:

Salaries and wages are classified as:

Interest on loan is classified as:

Insurance premium paid is classified as:

Telephone and electric bill is classified as:

Advertising expense (regular) is classified as:

Regular repairing expense of machine is:

Depreciation on building, machine, and furniture is:

Payment of road tax and insurance premium for a delivery van is:

Purchase of stationery items is:

To know financial results and position, businesses prepare statements that include:

The amount of profit and loss is known from the:

Owner's claim on the business is known from the:

Assets and liabilities are known from the:

Profit/loss is determined by Comprehensive Income Statement based on:

Assets, liabilities, and owner's equity are determined by Statement of Financial Position based on:

If capital expenditure is wrongly recorded as revenue expenditure, which is incorrectly determined?

Items included in the Comprehensive Income Statement include:

Items included in the Statement of Financial Position include:

Expenditure that is revenue in nature but whose benefits extend beyond the current accounting period is called:

Examples of deferred revenue expenditure include:

Tk.1,00,000 paid to ad agency for 3-year publicity is treated as:

Business transfer expense of Tk.25,000 is treated as:

Research cost for new product is treated as:

Deferred revenue expenditure is distributed:

Deferred revenue expenditures include:

Loan taken from a bank is classified as:

Sale of land, building, or old machinery is classified as:

Capital brought into the business is classified as:

Rent received from a building is classified as:

Money received from selling machinery (non-trader) indicates:

Payment of freight to bring business goods (regular) is:

Large amount spent for major machine repair (extending life) is:

House rent paid for office is:

The total amount of capital expenditure on the machinery is:

The total depreciation of the machinery over four years is:

The amount of capital income on sale is:

The capital expenditure for Bengal Engineering is:

The revenue expenditure for Bengal Engineering is:

Total revenue income for Castle Three Star is:

Revenue expense for Castle Three Star is:

Capital expenditure for Castle Three Star is:

Total capital transactions for Aguan are:

Total revenue expenditure for Aguan in May is:

Total revenue income for Aguan in May is:

Sakib Traders: business relocation expense Tk.25,000 is classified as:

Sakib Traders: research expense Tk.18,000 for new product is classified as:

Sakib Traders: installation cost Tk.15,000 of new machine is:

Sakib Traders: repair cost Tk.3,000 of old computer (regular) is:

Sakib Traders: machine purchased Tk.1,60,000 sold later for Tk.1,95,000 (cost basis 1,60,000+7,500+15,000=1,82,500). Capital income on sale is:

Sakib Traders: capital receipt from selling the machine for Tk.1,95,000 is:

Borhan Enterprise: capital invested Tk.5,00,000 + bank loan Tk.3,00,000. Capital receipts total:

Borhan Enterprise: rent paid Tk.40,000 (incl. Tk.3,000 advance for 2026). Revenue expense for current year:

Borhan Enterprise: commission received Tk.50,000 (incl. Tk.4,000 for 2024). Revenue income for current year:

Raha & Brothers: purchase of refrigerator Tk.75,000 is:

Raha & Brothers: profit from sale of furniture Tk.4,500 is:

Raha & Brothers: apprenticeship premium Tk.40,000 of which 75% from last year. Current-year revenue income from this is:

Raha & Brothers: import duty Tk.5,000 (related to machinery/equipment purchase) is:

The expenditure that ensures further utility over the period belongs to: