Define the term asset and explain the criteria used in recognizing an asset.(3 marks)

b). Explain any two factors that help determine whether an expense is to be treated as revenue expenditure or capital expenditure(2 marks)

c). A three-column cashbook is to be written up from the following details, balanced off, and the relevant discount accounts in the general ledger shown.

2021 Mar
	1 2 3 4 6 8 10 12 13 15 18 19 21 24 25 30 31	Balances brought forward: Cash sh.2,300; Bank sh.47,560 The following paid their accounts by cheque, in each case deducting 5 per cent cash discounts: R Burton 1400; E Taylor 2200; R Harris 3000. Paid rent by cheque 1200 J Cotton lent us 10000 paying by cheque. We paid the following accounts by cheque in each case deducting a 2 per cent cash discount: N Black 3600; P Towers 4800; C Rowse 8000. Paid motor expenses in cash 440.