Question

₹200 paid as wages for erecting a machine should be debited to:

Q: Answer-₹200 paid as wages for erecting a machine should be debited to:

Wages paid for erecting a machine are part of the installation cost, which is a capital expenditure. It is added to the cost of the asset Machine, not treated as a revenue expense like wages or repairs.

A Repair account

B Machine account

C Capital account

D Wages account

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₹200 paid as wages for erecting a machine should be debited to:

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