Any expense that gives benefit for a period of less than twelve months is called. A) Capital Expense B) Revenue Expense D) Deferred Expense

B) Revenue Expense

B) Revenue Expenses

In general view it is Revenue Expense.
But in modern days of complex production processes it emphasizes on the issue of production cycles rather on time i.e.,12 months.
If a particular production cycle takes more than12 months then what should you do? Treat this as a capital expense? Wrong.
So, the decision regarding revenue expense or capital expense is now a days highly related to the production cycle.

B

B) Revenue Expense

Revenue Expenditure.

An expense that gives benefit for less than1 year is called Revenue Expenditure.
Capital expenditure are Asset in nature and that gives benefit for more than1 year.

Revenue Expenditure.

.

if the peirod length is less than12 months, it is consider as short term, so the nature of given expense is short term, therefore it is Revenue Expense.

Money spent to acquire or upgrade physical assets is known as?