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If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will be
- a)Rs. 2,99,000
- b)Rs. 44,000
- c)Rs. 30,000
- d)Rs. 49,000
Correct answer is option 'C'. Can you explain this answer?
Verified Answer
If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost o...
The correct answer is (c) Rs. 30,000.
In accounting, expenses are the costs incurred during the normal course of business operations. The given costs can be categorized as follows:
1. Expensed items:
- Repair cost (Rs. 25,000)
- Whitewash expenses (Rs. 5,000)
2. Capitalized items (these are not expensed in the books, but rather added to the asset's cost):
- Cost of extension of building (Rs. 2,50,000)
- Cost of improvement in electrical wiring system (Rs. 19,000)
Now, let's calculate the amount to be expensed in the books:
- Repair cost: Rs. 25,000
- Whitewash expenses: Rs. 5,000
Total amount to be expensed = Repair cost + Whitewash expenses = Rs. 25,000 + Rs. 5,000 = Rs. 30,000
In accounting, expenses are the costs incurred during the normal course of business operations. The given costs can be categorized as follows:
1. Expensed items:
- Repair cost (Rs. 25,000)
- Whitewash expenses (Rs. 5,000)
2. Capitalized items (these are not expensed in the books, but rather added to the asset's cost):
- Cost of extension of building (Rs. 2,50,000)
- Cost of improvement in electrical wiring system (Rs. 19,000)
Now, let's calculate the amount to be expensed in the books:
- Repair cost: Rs. 25,000
- Whitewash expenses: Rs. 5,000
Total amount to be expensed = Repair cost + Whitewash expenses = Rs. 25,000 + Rs. 5,000 = Rs. 30,000
Most Upvoted Answer
If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost o...
Given:
- Repair cost = Rs. 25,000
- Whitewash expenses = Rs. 5,000
- Cost of extension of building = Rs. 2,50,000
- Cost of improvement in electrical wiring system = Rs. 19,000
To find: Amount to be expensed in the books
Calculation:
- The repair cost and whitewash expenses are revenue expenditures and will be expensed fully in the current year.
- The cost of extension of building and improvement in electrical wiring system are capital expenditures and will be added to the cost of the respective assets and depreciated over their useful lives.
Therefore, the amount to be expensed in the books = Repair cost + Whitewash expenses = Rs. 25,000 + Rs. 5,000 = Rs. 30,000
Hence, option (c) is the correct answer.
- Repair cost = Rs. 25,000
- Whitewash expenses = Rs. 5,000
- Cost of extension of building = Rs. 2,50,000
- Cost of improvement in electrical wiring system = Rs. 19,000
To find: Amount to be expensed in the books
Calculation:
- The repair cost and whitewash expenses are revenue expenditures and will be expensed fully in the current year.
- The cost of extension of building and improvement in electrical wiring system are capital expenditures and will be added to the cost of the respective assets and depreciated over their useful lives.
Therefore, the amount to be expensed in the books = Repair cost + Whitewash expenses = Rs. 25,000 + Rs. 5,000 = Rs. 30,000
Hence, option (c) is the correct answer.
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Community Answer
If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost o...
Only repair cost and white wash cost are only to expensed in the books. 25,000+5,000=30,000.
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If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will bea)Rs. 2,99,000b)Rs. 44,000c)Rs. 30,000d)Rs. 49,000Correct answer is option 'C'. Can you explain this answer?
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If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will bea)Rs. 2,99,000b)Rs. 44,000c)Rs. 30,000d)Rs. 49,000Correct answer is option 'C'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will bea)Rs. 2,99,000b)Rs. 44,000c)Rs. 30,000d)Rs. 49,000Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will bea)Rs. 2,99,000b)Rs. 44,000c)Rs. 30,000d)Rs. 49,000Correct answer is option 'C'. Can you explain this answer?.
If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will bea)Rs. 2,99,000b)Rs. 44,000c)Rs. 30,000d)Rs. 49,000Correct answer is option 'C'. Can you explain this answer? for CA Foundation 2025 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will bea)Rs. 2,99,000b)Rs. 44,000c)Rs. 30,000d)Rs. 49,000Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for CA Foundation 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will bea)Rs. 2,99,000b)Rs. 44,000c)Rs. 30,000d)Rs. 49,000Correct answer is option 'C'. Can you explain this answer?.
Solutions for If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will bea)Rs. 2,99,000b)Rs. 44,000c)Rs. 30,000d)Rs. 49,000Correct answer is option 'C'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation.
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If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will bea)Rs. 2,99,000b)Rs. 44,000c)Rs. 30,000d)Rs. 49,000Correct answer is option 'C'. Can you explain this answer?, a detailed solution for If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will bea)Rs. 2,99,000b)Rs. 44,000c)Rs. 30,000d)Rs. 49,000Correct answer is option 'C'. Can you explain this answer? has been provided alongside types of If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will bea)Rs. 2,99,000b)Rs. 44,000c)Rs. 30,000d)Rs. 49,000Correct answer is option 'C'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice If repair cost is Rs. 25,000, whitewash expenses are Rs. 5,000, cost of extension of building is Rs. 2,50,000 and cost of improvement in electrical wiring system is Rs. 19,000; the amount to be expensed in the books will bea)Rs. 2,99,000b)Rs. 44,000c)Rs. 30,000d)Rs. 49,000Correct answer is option 'C'. Can you explain this answer? tests, examples and also practice CA Foundation tests.
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