Accounting 0452 · IGCSE · Capital and revenue expenditure and receipts

Capital and revenue expenditure and receipts — practice question

A trader, Karim, buys a new vehicle and pays by cheque. He will use the vehicle to deliver goods to his customers. In what way should Karim enter this transaction in his books?

  • Abank / motor vehicles
  • Bbank / purchases
  • Cmotor vehicles / bank
  • Dpurchases / bank

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