Craig Watson is the ITC manager for a large company. He is responsible for installing a new
Question:
Craig Watson is the ITC manager for a large company. He is responsible for installing a new computer suite. The following costs are associated with this installation. He is unsure whether to classify the costs associated as capital or revenue expenditure. Craig asks for your help in classifying these costs:
(a) Cost of twelve new personal computers
(b) Delivery cost of new computers
(c) New desks and chairs required for suite
(d) Power costs associated with running computers for one year
(e) Annual licence cost for software
(f ) Stationery for printers
(g) Cleaning costs of new suite
(h) Installation cost of new wireless system.
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Capital exp...View the full answer
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Aysha Ali
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