Capital Expenditure:
Capital expenditure refers to the expenditure incurred for acquiring or improving fixed assets that have long-term benefits for the business. These assets are not meant for resale but are used for the production or provision of goods and services. In the given scenario, Kunal has purchased furniture for Rs. 4,50,000. This purchase of furniture falls under capital expenditure as it is a long-term asset that will be used by the business for a considerable period.

The amount of capital expenditure can be calculated by subtracting the cartage paid from the total purchase amount of furniture:
Capital Expenditure = Purchase amount of furniture - Cartage paid
= Rs. 4,50,000 - Rs. 30,000
= Rs. 4,20,000

Revenue Expenditure:
Revenue expenditure refers to the expenditure incurred for the day-to-day operations and expenses of a business. These expenses are incurred to maintain and run the business and do not result in the acquisition of any long-term assets. In the given scenario, 1/3rd of the purchased furniture was used for furnishing the office. The cost of furnishing the office would be considered as revenue expenditure.

The amount of revenue expenditure can be calculated by multiplying the cost of furniture used for furnishing by 1/3rd:
Revenue Expenditure = Cost of furniture used for furnishing * 1/3
= Rs. 4,50,000 * 1/3
= Rs. 1,50,000

Summary:
- The capital expenditure incurred by Kunal is Rs. 4,20,000, which represents the cost of the furniture purchased for the business.
- The revenue expenditure incurred by Kunal is Rs. 1,50,000, which represents the cost of the furniture used for furnishing the office.
- Capital expenditure is related to the acquisition or improvement of long-term assets, while revenue expenditure is related to day-to-day operational expenses.
- It is important for businesses to distinguish between capital and revenue expenditure for accounting and tax purposes.