A manufacturing company spent the following amounts on the import and installation of machine:
1. Rs. 50,000 : Price of the machine
2. Rs. 5,000 : Freight
3. Rs. 1,050 : Insurance premium
4. Rs. 6,000 : Replacement of a part damaged intransit, not covered under the
insurance policy
Based on the above data, capital expenditure would be:
A. Rs. 50,000
B. Rs. 56,050
C. Rs. 62,050
D. Rs. 51,050
Answer: Option C
This Question Belongs to Commerce >> Accounting
Related Questions on Accounting
Accounting provides information on
A. Cost and income for managers
B. Company's tax liability for a particular year
C. Financial conditions of an institutions
D. All of the above
The long term assets that have no physical existence but are rights that have value is known as
A. Current assets
B. Fixed assets
C. Intangible assets
D. Investments
The assets that can be converted into cash within a short period (i.e. 1 year or less) are known as
A. Current assets
B. Fixed assets
C. Intangible assets
D. Investments
Patents, Copyrights and Trademarks are
A. Current assets
B. Fixed assets
C. Intangible assets
D. Investments
Join The Discussion