Question

    ₹200 paid as wages for erecting a machine should be

    debited to:
    A Repair account Correct Answer Incorrect Answer
    B Machine account Correct Answer Incorrect Answer
    C Capital account Correct Answer Incorrect Answer
    D Wages account Correct Answer Incorrect Answer

    Solution

    Explanation: 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.

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