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Operating Expenditure (OpEx)

Definition

The ongoing costs of running a business, including salaries, rent, utilities, marketing, and professional services. Unlike capital expenditure, OpEx is expensed immediately on the income statement. Much intangible asset investment (R&D, training, branding) is classified as OpEx.

Related Terms

OECD Productivity Framework OKR (Objectives and Key Results) Operating Leverage Operating Margin Operational Excellence

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