state gov Kerala (കേരളം) PSC Divisional Accountant Test Series 2025 Accountancy Capital & Revenue Account
With respect to an income and expenditure account, which of the following statements is INCORRECT?
1
It is a revenue account prepared at the end of the accounting period for finding out the surplus or deficit of that period.
2
It is prepared by matching expenses against revenue of the period concerned.
3
All capital expenditures and incomes are included.
4
Both, cash items and non-cash items, such as depreciation, are taken into consideration.