How Do You Spell CAPITAL EXPENDITURE?

Pronunciation: [kˈapɪtə͡l ɛkspˈɛndɪt͡ʃə] (IPA)

The correct spelling of the word "capital expenditure" is /ˈkæpɪtl ɪkˈspɛndɪtʃər/. The first part "capital" starts with the /k/ sound, followed by the short /æ/ sound, then the /p/ sound, a long /i/ sound, and lastly the /t/ sound. The second part "expenditure" starts with the stressed short /ɛ/ sound, followed by /ks/ sound, a short /p/ sound, a short /ɛ/ sound, a stress syllable /ndɪ/, and lastly the /tʃər/ sound. This is an important financial term that refers to the money spent to acquire or improve a long-term asset for a business.

CAPITAL EXPENDITURE Meaning and Definition

1. Capital expenditure refers to the amount of money spent by a company or organization in the acquisition, improvement, or replacement of long-term assets that are expected to generate economic benefits over an extended period of time, typically more than a year. These assets can be physical assets such as buildings, machinery, equipment, vehicles, or intangible assets like patents, copyrights, trademarks, and software.

   Unlike expenses incurred in day-to-day operations, capital expenditures are investments made by an entity with the intention of enhancing its productive capacity, improving efficiency, or expanding its business operations. Capital expenditures are considered to be essential for a company's growth and sustainability, as they contribute to the creation of long-term value and the enhancement of its competitive position.

   Typically, capital expenditures involve significant financial commitments, and they are often subject to careful planning, analysis, and approval. Companies evaluate various factors such as the expected return on investment, the projected lifespan of the asset, potential risks, and the availability of funding before undertaking a capital expenditure. These investments are usually recorded on the balance sheet as assets and are gradually depreciated or amortized over their useful lives, reflecting the gradual consumption of their economic benefits.

   Capital expenditures are often contrasted with operating expenses, which are incurred in the day-to-day operations of a business and are necessary to maintain regular business activities.

Common Misspellings for CAPITAL EXPENDITURE

• xapital expenditure
• vapital expenditure
• fapital expenditure
• dapital expenditure
• czpital expenditure
• cspital expenditure
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• caoital expenditure
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• ca-ital expenditure
• ca0ital expenditure
• caputal expenditure
• capjtal expenditure
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• capotal expenditure
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• capiral expenditure

Etymology of CAPITAL EXPENDITURE

The word "capital" originated from the Latin word "caput" meaning "head", which also came to denote "wealth" or "property" in medieval Latin. The term "expenditure" comes from the Latin word "expendere" meaning "to weigh out" or "to pay out".

Therefore, the etymology of the term "capital expenditure" combines "capital", referring to wealth or property, with "expenditure", meaning to pay out or use resources. It describes the spending or investment of funds in long-term assets or resources used by a business for generating revenue or enhancing its value.

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Plural form of CAPITAL EXPENDITURE is CAPITAL EXPENDITURES