Accounting Principle

Dissimilarities between Capital Loss and Revenue Loss Capital loss is the losses which arise not from the normal course of business. Loss on sale of…

Revenue reserve is formed out of the revenue turnover earned in the usual course of the business. It refers to the undistributed revenue earnings. It…

Capital Reserve The reserve which is formed out of the capital earnings is known as capital reserve. It is formed out of the earnings of…

Dissimilarities between Capital Profit and Revenue Profit Capital profit is the profit which arises not from the normal course of the business. Profit on sale of…

Capital loss are the losses which arise not from the normal course of business. Loss on sale of fixed asset is an example of capital…

Revenue loss are the losses that arise from the normal course of the business. In other words, ‘net loss’ – i.e., excess of revenue expenditures…

Difference among Capital Expenditure, Revenue Expenditure and Deferred Revenue Expenditure. Capital Expenditure Period of Benefit: Benefit is enjoyed beyond the accounting year, lasts for a…

Revenue profit is the profit which arises from the normal course of the business, i.e, Net Profit – the excess of revenue receipts over revenue…

Capital profit is the profit which arises not from the normal course of the business. Profit on sale of fixed asset is an example for…

Deferred Revenue Expenditure A heavy revenue expenditure, the advantage of which may be comprehensive over a number of years, and not for the present year…