Which of following is a recurrent expenditure in public sector accounting?

A.

Purchase of vehicles

B.

Purchase of drugs

C.

Construction of bore holes

D.

Construction of buildings

Correct answer is B

Recurrent expenditure on goods and services is expenditure, which does not result in the creation or acquisition of fixed assets (new or second-hand). It consists mainly of expenditure on wages, salaries and supplements, purchases of goods and services and consumption of fixed capital (depreciation).