when we are selling asset , is it capital receipt as we are getting money or exp as asset is decreasing
Question
Solution 1
When we sell an asset, it is considered a capital receipt because we are receiving money from the sale. This is not considered an expense, even though the asset is decreasing. Here's why:
- Capital Receipt: When an asset is sold, the money received from the sale is considered a capital receipt. Th Knowee AI is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI is a powerful AI-powered study tool designed to help you to solve study problem.
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