If capital expense is recorded as revenue expense then which calculation will be wrong?

Name: If capital expense is recorded as revenue expense then which calculation will be wrong?
Brand: Quizplus
Rating: 4.9 (55 reviews)

Question

Quizplus · Accepted Answer

Recording a capital expense as a revenue expense would lead to an overstatement of expenses in the income statement, which would in turn reduce the net profit. Bank balance, debtors, and creditors are not directly affected by the classification of expenses as capital or revenue.

If Capital Expense Is Recorded as Revenue Expense Then Which