Unit 3 LO C3 - Types of Expenditure

Expenditure is the money that the business (?) - one word please all lower case

(a)  

Tick all the facts that apply to 'Non-current assets'

• Capital expenditure can be used to purchase non-current assets.

• Non-current assets are a companies long-term investments

• 'long-term' means keeping assets longer than a year

• Capital income is a non-current asset

Capital expenditure is used to buy or upgrade physical assets such as property. buildings or equipment

• True

• False

Examples of Non-current assets are?

• Property

• Land

• Vehicles

• Equipment

• All of these

An intangible asset could be land, property, equipment

• True

• False

A patent ...

• is used to represent a business or its products.

• gives an inventor the right to stop others copying their invention for a limited time period

• is a value added to a business based on its customer base and reputation

A trademark ...

• is used to represent a business or its products.

• gives an inventor the right to stop others copying their invention for a limited time period

• is a value added to a business based on its customer base and reputation

Goodwill ...

• is used to represent a business or its products.

• gives an inventor the right to stop others copying their invention for a limited time period

• is a value added to a business based on its customer base and reputation

Intellectual property is something that you create using your mind eg a story, an invention, an artistic work or a symbol

• False

• True

Marketing is ...

• A business is legally required to take a number of these policies out to protect itself

• A reduction in the value of an asset over time due to wear and tear

• Payments made to the local council for services provided by them

• Costs associated with attracting potential customers using advertising methods