The purchase of war tanks by Indian government from Russia will be classified as
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → Capital expenditure
When the Indian government purchases war tanks from Russia, it is spending money to acquire durable assets that will be used for defense and national security over many years. Such spending creates or adds to the capital assets of the government and is therefore treated as capital expenditure, not as a recurring or operational cost (which would be revenue expenditure).