Hey, do you know if investments are of capital nature or revenue nature?
Answers
Answer:
The differences between capital expenditures and revenue expenditures include whether the purchases will be used over the long-term or short-term. Capital expenditures (CAPEX) are funds used by a company to acquire, upgrade, and maintain physical assets such as property, buildings, or equipment.
Capital expenditures are typically one-time large purchases of fixed assets that will be used for revenue generation over a longer period. Revenue expenditures are typically referred to as ongoing operating expenses, which are short-term expenses that are used in running the daily business operations.
Capital expenditures (CAPEX) are funds used by a company to acquire, upgrade, and maintain physical assets such as equipment.
Capital expenditures are typically one-time large purchases of fixed assets that will be used for revenue generation over a longer period.
Revenue expenditures are the ongoing operating expenses, which are short-term expenses used to run the daily business operations.