Attempt this previous-year question. The correct option stays hidden until you choose.
With reference to the expenditure made by an organisation or a company, which of the following statements is/are correct ?
1. Acquiring new technology is capital expenditure.
2. Debt financing is considered capital expenditure, while equity financing is considered revenue expenditure.
Select the correct answer using the code given below:
Pick an option to check yourself.
• Correct Answer: A
• New technology is a long-term asset providing future benefits, qualifying as capital expenditure.
• Debt and equity financing are capital-raising methods, not expenditure classifications.
Attempt Prelims MCQs or open Mains questions by paper — then continue the same bank inside the app with visual decks.
GyanGram