top button
Flag Notify
    Connect to us
      Site Registration

Site Registration

What is a capital expenditure in company?

+1 vote
156 views
What is a capital expenditure in company?
posted Mar 1, 2016 by Abhishek Maheshwari

Share this question
Facebook Share Button Twitter Share Button LinkedIn Share Button

1 Answer

0 votes

Capital Expenditure or Capex is any large expenditure of the company. The CAPEX is realized over a long period of time & usually are divided in the P&L for the expected useful life of the Asset bought by CAPEX. If the CAPEX is included at one go in the company, the company will incur big loss in their books, so in order to avoid that Depreciation was introduced.

answer Apr 15, 2016 by Shekhar Yadav
...