capital expenditure

I opine, bifurcation of advt. exp. on quantum basis into cap. & rev. exp. is only the secondary aspect. The economic benefits arising from such exp. for more than one yr. will primarily decide its status regarding rev. or cap. exp. Ex. contract with a celebrity of 2 croes for 2 yrs. in relation to advt. of its products, then 2 croes is spreaded over 2 yrs. evenly on the grounds that benefits of such exp. is expected to derive in 2nd yr. also. At end of 1 yr. balance of 1 croe disclosed under "deferred rev. exp." in B/s.