What are development expenditures?

What are development expenditures?

Development expenditure plays a pivotal role in the growth of your County. This expenditure relates to costs incurred in order to create assets that will provide long-term public goods, including roads, hospitals, schools and airports.

What is development expenditure example?

Answer: Development expenditure: It is that expenditure which is incurred on economic and social development of the country. Example: expenditure on education, health, employment, industry etc.

What does expenditure mean in budget?

Definition: Expenditure Budget shows the revenue and capital disbursements of various ministries/departments and presents the estimates in respect of each under ‘Plan’ and ‘Non-Plan’. Demand for grants of the Central government is also a part of the Expenditure Budget.

Is capital expenditure same as development expenditure?

Capital spending is associated with investment or development spending, where expenditure has benefits extending years into the future. Capital expenditure includes money spent on the following: Acquiring fixed and intangible assets. Upgrading an existing asset.

Which of the following is a developmental expenditure?

Correct Option: A The important heads of developmental expenditure within the revenue account are (i) social and community services, (ii) economic services and (iii) grants-in-aid to states and union territories. The largest component in this group is economic services.

Which has Include in development expenditure?

The correct answer is defence expenditure. Expenditure on economic service, expenditure on social and community services, grant to states are examples of developmental expenditures.

Which one of the following is a development expenditure?

Grant-in-aid.

What are the three types of expenditure?

Expenditure Conclusion The three types of expenditure that a business can incur include capital expenditure, revenue expenditure, and deferred revenue expenditure.

What are the types of budget expenditure?

Budget Expenditure refers to the estimated expenditure of the government during a given fiscal year.

Is Rent a capital expenditure?

Capital expenditures (CAPEX) are a company’s major, long-term expenses while operating expenses (OPEX) are a company’s day-to-day expenses. Examples of OPEX include employee salaries, rent, utilities, property taxes, and cost of goods sold (COGS).

What is recurrent and capital budget?

A recurrent budget consists of regular revenues and ongoing expenses. A capital budget consists of non-recurring revenues and expenses. Companies may use a capital budget for special projects.

Which of the following is not a development expenditure?

Expenditure on economic service, expenditure on social and communist services, grant to states are examples of developmental expenditures. Among the given options, defense expenditure is not an example of developmental expenditure.

Which is an example of a development expenditure?

For instance, expenditure incurred on education, health, housing, agricultural and industrial development, rural development, social welfare, scientific research, etc. are treated as development expenditure. It also includes plan expenditure of Railway, Post and Telecommunications, Non-departmental commercial undertakings.

Which is a part of the expenditure budget?

Expenditure Budget is the allocation of funds for disbursement to various ministries, departments and sectors. The Union Budget highlights the respective grants as per the data provided by the ministries and departments . Expenditure Budget is further branched into two categories: Revenue & Capital.

What is the purpose of a capital expenditure?

Capital expenditures include the purchase of new equipment, machinery, land, plant, furniture, and fixtures, vehicles, software, or intangible assets such as a patent or license. The capital expenditures identify amount of cash that company invests in project and long term assets.

Which is the first step in preparing a capital budget?

The first step in the preparation of the capital budget is the separation of capital expenditures and operating expenditures. These both have their own nature and also separate tax treatments are available for these expenditures. So, they need to be treated carefully.