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What are the cases when revenue expenditure becomes capital expenditure?

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Question added by Deleted user
Date Posted: 2015/02/26
VENKITARAMAN KRISHNA MOORTHY VRINDAVAN
by VENKITARAMAN KRISHNA MOORTHY VRINDAVAN , Project Execution Manager & Accounts Manager , ALI INTERNATIONAL TRADING EST.

The major repairs for an asset that are ear-marked for sale or replacement will be treated as an expenditure of capital nature.

Deleted user
by Deleted user

When expenses of revenue nature is spent on erection of new plant and machinery like wages , carriage inward , raw material used , or advertising of new product will be treated as capital expenditure :)

FITAH MOHAMED
by FITAH MOHAMED , Financial Manager , FUEL AND ENERGY CO for transportion petroleum materials

When the goods are used as personal assets of the company for example

company selling cars

used a car for manager utility 

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