A business organization has incurred $100,000 as capital expenditure on installing high-quality machines, which requires routine repairs and maintenance of $4,000 per month. This expense must be matched with revenues earned by the company on a monthly basis. Revenue expenditures are costs charged to expenses as soon as incurred, following the matching principle. These expenses include maintenance and repair costs that do not extend the useful life of assets or add value. Revenue expenditures can be categorized into two types: those incurred for maintaining an asset generating revenue and those incurred for generating revenue. Other expenses that do not fit these categories should not be considered revenue expenditures.