What is Capital Expenditure
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Answer Posted / shalini parisha
Capital expenditures (CAPEX or capex) are expenditures
creating future benefits. A capital expenditure is incurred
when a business spends money either to buy fixed assets or
to add to the value of an existing fixed asset with a
useful life that extends beyond the taxable year. Capex are
used by a company to acquire or upgrade physical assets
such as equipment, property, or industrial buildings.
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