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Examples on Continuity (Part I)
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Sachin Rana is teaching live on Unacademy Plus

Sachin Rana
IIIrd Year UG, IITB | 115/120 in Maths in JEE Main (2016) | Qualified NSEA (Astronomy Olympiad) | YouTuber with over 1,00,000 subscribers.

Unacademy user
in illustration 3 ques 1 time13:32 it should be revenue expenditure as it is just a replacement not any alternate which increases the production like in ques 4, please clarify.
Vani Ravija
a year ago
I believe, the part is worn out. Hence not useful in current state. Therefore, if one wants to make use of the machinery, one will need to invest and the expenses arising out of repairing it will be used for enhancing the capacity, so it's a type of capital expenditure..
Thank you, I was also thinking the same but when i referred to CPT module it was clearly mentioned as revenue expenditure.
Vani Ravija
a year ago
Oh! thanks for the clarification.
2 points of discontinuity
thanks a lot sir for this video on a crucial topic