Capital expenditures are expenditures that increase the company's investment in productive facilities.

Question

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Capital expenditures refer to investments made by a company in order to acquire or upgrade physical assets, such as machinery, buildings, and equipment, that are used to generate revenue over a long period of time. These investments are expected to provide benefits for several years, and are therefore considered to be long-term investments in productive facilities.

Capital Expenditures Are Expenditures That Increase the Company's Investment in Productive