灵鹊做题网Revenue and Capital Expenditures
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Revenue and Capital Expenditures
1.Classify the following as either a revenue or a capital expenditure.
A.Paid $40,000 cash to replace a compressor on a refrigeration system that extends its useful life by four years.
B.Paid $200 cash per truck for the cost of their annual tune-ups.
C.Paid $175 for the monthly cost of replacement filters on an air-conditioning system.
D.Completed an addition to an office building for $225,000 cash.
2.Prepare the journal entries to record transactions A.and D.of part 1.
1.Classify the following as either a revenue or a capital expenditure.
A.Paid $40,000 cash to replace a compressor on a refrigeration system that extends its useful life by four years.
B.Paid $200 cash per truck for the cost of their annual tune-ups.
C.Paid $175 for the monthly cost of replacement filters on an air-conditioning system.
D.Completed an addition to an office building for $225,000 cash.
2.Prepare the journal entries to record transactions A.and D.of part 1.
A:capital expenditure
B:revenue（这个挺奇怪的,明明说法应该是cost）
C:revenue
D:capital expenditure
A;
Dr：Fixed assets
Cr:Cash
D:
Dr:Fixed assets
Cr:accounts payable/cash
B:revenue（这个挺奇怪的,明明说法应该是cost）
C:revenue
D:capital expenditure
A;
Dr：Fixed assets
Cr:Cash
D:
Dr:Fixed assets
Cr:accounts payable/cash
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