Respuesta :
Capital expenditure is the process of evaluating and selecting long minus term investments that are consistent with a firm's goal of maximizing owners' wealth.
The money that the government spends on developing buildings, machinery, equipment, schools and other infrastructure are known as capital expenditure. Additionally, it covers the costs made by the government for investments that will generate profits or dividends in the future, such as land acquisition costs.
The long-term character of capital investment, which results in the formation of assets, enables the economy to generate income for many years by expanding or upgrading manufacturing facilities and increasing operational effectiveness. Additionally, capital expenditure raises the ability of the economy to create more in the future, increases labor participation, and evaluates the economy.
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