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What is Capex and Opex

What is Capex and Opex?

  • Business expenses can be split into two general categories – Capex and Opex.
  • Capital expenditure (Capex) are costs incurred through investment in equipment, training or other assets that improve long-term performance.
  • Operational expenditure (Opex) involves expenses incurred from daily activities such as wages and power bills.

It costs money to run a business, but there are two types of general expenses that all companies have to deal with and balance – Capex and Opex.

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