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Which of the following transactions is a revenue expenditure?

Accounts - Principles of Accounts
WAEC 2018

Which of the following transactions is a revenue expenditure?

  • A. purchase of plant
  • B. purchase of a new engine
  • C. construction of office wall
  • D. purchase of fuel for vehicle
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Correct Answer: Option D
Explanation

Revenue expenditures are short-term expenses used in the current period or typically within one year. It includes the expenses required to meet the ongoing operational costs of running a business. Option D is correct.

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Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts