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Which of the following items is a capital expenditure?

Which of the following items is a capital expenditure?

  • A.
    Maintenance of office machine
  • B.
    Purchase of office stationery
  • C.
    Carriage inwards
  • D.
    Purchase of office machinery
Correct Answer: Option D
Explanation

capital expenditures are money spent by a business or organization on acquiring or maintaining fixed assets, such as land, buildings, and equipment.