Which of the following is not a capital receipt?

Question

Quizplus · Accepted Answer

Capital receipts are non-recurring transactions that either increase a liability or decrease an asset, excluding the company's main business operations. 'Salami' for settlement of tenancy, insurance claims for machinery lost by fire, and lump sums received from the sale of shares are all capital receipts as they are non-recurring and not part of the regular business operations. However, goods sold for cash is an operational activity and considered a revenue receipt, not a capital receipt, as it is part of the regular business operations generating income.

Which of the Following Is Not a Capital Receipt