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> ¢ —t, Vanagement (I. y.B.Com.: SE\, uired by the der, , ren oc, ICUuVUOose, , , , fecoeuntanecy andl inancial, ind sells special chars req, , ' 3 | “Hh 2014 You are, ear ended 31st March, < y quest, , snses or deferred revenue expe, , 7 qf?, Ue E@Xpe :, 2013 during the month of, , Q.23 : M/s. Sirona Industries manufactures, Nave mMmcurred following expenses during the \, state whether these expenses are capital expenses, reve aexpen, or the month of May,, nts for purchase of ney, , Rent paid & 25,000 to the landlord ft, of new machinery, paring docume, , l, , ), , Import duty paid ¥ 35,000 on purchase, 25,000 to the advocate for pre, Manufactures Association of India, , Professional fees paid <, 5.000 to the Machinery %, of land and buildings., , * «, as ‘, , office premises,, Annual membership fees paid & §, Bank interest paid % 35,000 on loan taken for purchase, , , , , VAT tax paid ¥ 15,000., Printing charges paid & 28,000. SQMOD (>, * 25 000 to the society where the concern has purchased new office premises, . (IDOL, April 2013, adapted), [Ans.: CE : 2, 3, 5,8; RE: 1, 4, 6, 7], , 8. Transfer fees paid § 25, enue expenses Or deferred revenue, , Q.24 : State whether these expenses are capital expenses, TeV, uarter ended 3ist December, , expenses., (a) Interest paid on bank overdraft = 50,000 to State Bank of India for q, , 2014., (b) Custom duty paid = 35,000 on import of Raw Materials., , (c) Purchased old plant for = 20,000., (d) ¥ 300 were paid for the up-keep of a water pump., (e) Paid audit fees ¥ 5,000 to Mr. Jayesh, our Chartered Accountant., , (f) Paid € 1,000 for annual renewal of factory license., , (g) Reimbursed % 12,500 Travelling expenses to Mr. Abhishek our salesman., , (h) Purchased 20 box files for office use at € 20 per file. (IDOL, April 2015, adapted), [Ans.: CE : (c); RE : (a), (b). (d), (€). (f). (9). (A)], , Q.25 : State with reasons whether the following items of expenditure are capital or revenue :°, , (a) A new machinery was purchased for ¥ 80,000 and a sum of ¥ 1,000 was spent on it installation, , and erection., (b) Premium paid on the redemption of debentures., , (c) Commission paid on the redemption of debentures., , (d) Commission paid on issue of debentures., (e) Cost of air-conditioning the office of the director of a company., , (f) Damages paid on account of the breach of contract to supply certain goods, , (g) Cost of replacement of an old and worn out part of machinery., (IDOL, Oct. 2016, adaptea, , (h) Repairs to a motor car met with an accident., [Ans.: CE : a, e; RE : b, c, d, f, g, h,, , (i) Cost of redecorating a cinema hall.