Capital and Revenue Profits

Capital profit is produced by promotion property, distribute and debentures at a penalty extra than their book value and features value. Revenue profit is produced in the common path of the business.Revenue profit is the variation among revenue earnings and revenue everyday expenditure. It is earned in the common course of the business.

Capital and Revenue Items

Capital and Revenue Items and goods Learning Objectives: Define explain and give examples capital and revenue expenditures, receipts, payments, profits and losses. What is the difference between capital and revenue expenditures? What are the exceptions to the general rule of capital and revenue expenditures?