Revenue expenditures are reported on the statement of financial position and would include the cost to paint a building.

Question

Quizplus · Accepted Answer

Revenue expenditures are not reported on the statement of financial position. They are expensed in the period incurred and do not result in the acquisition of an asset. The cost to paint a building would be considered a maintenance expense and would be recorded as a revenue expenditure.

Revenue Expenditures Are Reported on the Statement of Financial Position