Interested to Buy Any Domain ? << Click Here >> for more details...
what is difference between cost and expenditure and expence
- 2 Answers
- 14169 Views
- I also Faced
- E-Mail Answers
Answers were Sorted based on User's Feedback
Answer / nana
An expense is reported on the income statement. An
expense is a cost that has expired, was used up, or was
necessary in order to earn the revenues during the time
period indicated in the heading of the income statement. For
example, the cost of the goods that were sold during the
period are considered to be expenses along with other
expenses such as advertising, salaries, interest,
commissions, rent, and so on.
Expenditure is a payment or disbursement. The
expenditure may be for the purchase of an asset, a reduction
of a liability, a distribution to the owners, or it could be
an expense. For instance, expenditure to eliminate a
liability is not an expense, while expenditures for
advertising, salaries, etc. will likely be recorded
immediately as expenses.
A cost is a sacrifice of resources. So when we buy
something, we cease to have the ability to use these
resources (typically cash or credit line) to buy something
else. The price of each item measures the sacrifice we must
do to acquire it.
Whether you pay cash or use any other asset, and to pay
now or later (if we use a credit card), the cost of an item
purchased is represented by what we give up as a result.
Cost will be a cash outflow that may bring you benefit but
expenditure is a cash outflow that will only cost you money
but not giving you any feedback
| Is This Answer Correct ? | 14 Yes | 1 No |
Answer / hussein abdirizak
Cost: is what the company incurred when selling goods or service.
expense: is what we calculated as a cost during selling goods or service will be expense when we percent in income statement.
| Is This Answer Correct ? | 2 Yes | 0 No |
WHAT IS RATE OF SERVICE TAX 2014-15
ledger entry for outstanding salaries
10 Answers D Link, ITC Infotech, Northern Trust,
April-25 Paid to Mr. Y in full Settlement by Cheque Rs. 4800. April-26 Received a cheque from Mr. B in full settlement Rs. 4900.
Why we debit expenses and credit incomes ?
Tell me what do you think is bank reconciliation statement?
what kind of items are posted in the income statement?
2 Answers eClerx, Tata Motors,
Should we take the taxes in to P& L A/c.
We have purchased some good from our vendor and we asked them to transport the same to some address but they have raised a debit note to us for transportation instead of invoice. Same like we have given some order to manufacture for developing that product they have charged some amount for that also they have raised the debit note. How to account these type of debit notes in tally..?
M/s ABC Brothers, which was registered in the year 2000, has been following Straight Line Method (SLM) of depreciation. In the current year it changed its method from Straight Line to Written Down Value (WDV) Method, since such change would result in the additional depreciation of Rs. 200 lakhs as a result of which the firm would qualify to be declared as a sick industrial unit. The auditor raised objection to this change in the method of depreciation. The objection of the auditor is justified because (a) Change in the method of depreciation should be done only with the consent of the auditor (b) Depreciation method can be changed only from WDV to SLM and not vice versa (c) Change in the method of deprecation should be done only if it is required by some statute and change would result in appropriate presentation of financial 6 statement (d) Method of depreciation cannot be changed under any circumstances
a cc. has balance Rs. 8,40,000 at the credit of profit and loss a/c this balance is used for redemption of debentures what will be the entry
WHAT ELEMENTS OF YOUR JOB JNTEREST YOU THE MOST AND LEAST?
If there is an excess amt of TDS paid under the head TDS on contractor, then how it can be shown in Annexure of TDS return?
Audit 
