Consider the following transactions:
a. Acquired building for a down payment plus a mortgage payable
b. Paid delinquent real estate taxes on a building at the time of its acquisition
c. Acquired new air-conditioning system for the building
d. Paid interest on building mortgage
e. Paid principal on building mortgage
f. Paid cash dividends
g. Paid travel expenses of sales personnel
h. Paid janitorial wages
i. Paid security guard’s wages

Required
Answer the following by letter:
1. Indicate which transactions are capital expenditures.
2. Indicate which transactions are expenses in the current year.