UGC NET COMMERCE November 2017(Paper-II) Q10
0. Which one of the following receipts is of revenue nature?
- Option : B
- Explanation : Capital and Revenue Receipts: Contributions
to a business enterprise made by a proprietor
in the case of sole trader, partners in case of
partnership firms, shareholders in case of joint
stock company as the capital of the concerns
are capital receipts. Loan from third parties,
sale of any fixed assets of a business, funds
raised by way of debentures are also capital
receipts.
Incomes that arise due to the desired results of intense activities in a business enterprise are revenue receipts, such as sales revenue, commission and discount received, interest and dividend received, interest on investments and the like.
