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A business owner purchased a delivery vehicle and made these payments:
| Item | Amount ($) |
|---|---|
| Delivery vehicle purchase price | 28,000 |
| Fitting shelves inside the vehicle | 3,000 |
| Painting business logo on the vehicle | 2,000 |
What was the total capital expenditure?
Option C ($31,000) is correct.
Capital expenditure includes costs that bring a non-current asset into use or improve its capacity:
- Vehicle purchase price: $28,000
- Fitting shelves (improves functionality): $3,000
Total CapEx = $31,000
Painting the logo ($2,000) is revenue expenditure — a marketing cost that does not add to the asset's useful life.
On 14 May 1844, Samuel Morse officially inaugurated the first long-distance electrical telegraph link between Baltimore, Maryland and Washington D.C. by transmitting the now-famous message: “What hath God wrought.” The message was suggested by Annie Ellsworth, daughter of the U.S. Patent Commissioner, and is a biblical quotation (Numbers 23:23). Morse had patented the telegraph in 1837 and spent years securing government funding for the Baltimore–Washington demonstration line. The telegraph revolutionised mass communication by enabling the near-instantaneous transmission of news over long distances, which had a profound impact on the newspaper industry. Note: The phrase “Come here Watson I need you” is associated with Alexander Graham Bell's telephone (1876), not Morse's telegraph.
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