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Accounting treatment

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(Querist)
20 August 2017 Microsoft office package software was purchased along with some computers. Price for the microsoft office package is given separately in the invoice. Should we treat the cost of the microsoft office package as revenue expense?
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Ashiwini Ballodia

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Ashiwini Ballodia (Expert)
20 August 2017 As per me it should be capitalised
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Dhirajlal Rambhia

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Dhirajlal Rambhia (Expert)
15 October 2021 Initial cost of software is generally capitalized along with computer cost.




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