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Revenue expenditure

Why payment of interest is treated as revenue expenditure?

Answer: Since it does not cause any decrease in the liability of government.

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    Q : Shut down point in the short run A

    A monopolist will shut down during the short run when its equilibrium price as: (w) equals short-run average cost. (x) exceeds marginal cost. (y) is less than average variable cost. (z) is less than average fixed cost.

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