Capital Expenditure (CapEx)

Definition

Funds spent to acquire, upgrade, or maintain physical assets such as property, plant, and equipment. CapEx is capitalised on the balance sheet and depreciated over time, in contrast to operating expenditure which is expensed immediately.

Related Terms

Cap Table (Capitalisation Table) Capital Deepening Capital Intensity Ratio Capitalisation of Intangibles Carried Interest (Carry)

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