Which of the following is an example of a capital expenditure?
A)Cleaning the carpet in the front room
B)Tune-up for a company truck
C)Replacing an engine in a company car
D)Replacing burned-out light bulbs in the factory

Question

Quizplus · Accepted Answer

Capital expenditures are expenses that are intended to benefit a company in the long-term. Replacing an engine in a company car would be considered a capital expenditure because it would improve the functionality of the car and extend its useful life.

Which of the Following Is an Example of a Capital