Spending on the day-to-day running of a business, such as rent, wages, and utility bills.

• A. Debentures
• B. Revenue expenditure
• C. Leasing
• D. Factoring

Answer: (B)

Revenue expenditure covers the day-to-day costs needed to run the business, such as rent, wages, and utilities. These are expenses charged in the current period and reduce profit, because they do not create lasting assets but are required to keep operations going. The other options relate to different financial concepts: a debenture is a form of long-term borrowing, leasing is about obtaining the use of an asset (payments can be operating or financing depending on the arrangement), and factoring involves selling receivables to raise cash.