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the coordinator of your study center. 1. a) Distinguish between Revenue expenditure and Capital expenditure. How are they treated while preparing the final accounts? If by mistake the accountant of a firm treats a capital expenditure as revenue expenditure, how will it affect the final accounts of the firm? Give an example. b) Why is depreciation charged? Explain the two methods of charging depreciation. In which method the value of the asset is reduced to zero earlier. Which one is more rational? Explain why? 2. What is meant by appropriate capital structure? Discuss the determinants and features of an appropriate capital structure for a corporate body. 3. Explain the important determinants of the Working Capital needs of a firm. Can two firms with different Work...
17th April, 2014