capital expenditure

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capital expenditure

n. payment by a business for basic assets such as property, fixtures, or machinery, but not for day-to-day operations such as payroll, inventory, maintenance and advertising. Capital expenditures supposedly increase the value of company assets and are usually intended to improve productivity.

References in periodicals archive ?
A "capital cost map" summarising typical $-denominated capital costs today for a notional BOF flat product plant, for a notional EAF long product steel works and for a range of ancillary plant is included in the report.
This greater relative variation and skewness illustrates that a capital payments system based on mean capital costs would tend to redistribute capital payments among hospitals to a greater extent that a comparable system for operating costs.
If it does meet those requirements, it is considered a capital cost and not a current expense.
The largest capital cost component is the turbine itself which can account for between 40% and 80% of the total capital cost of an onshore wind installation.
When the sum of an asset's capital cost and manufacturing cost exceeds the price, the asset falls to the right of the price line and the asset is destroying value.
They are too expensive to build, so we set out in our program to attack the capital costs," Fletcher added.
Assuming that the space can be upgraded to the existing tenant's requirements at a lower cost than would be required for a new tenant's build-out, and that the tenant can forego some or all of the rent abatement period, the market rent can be adjusted to reflect the landlord's savings in these capital costs if, for example, the market rent includes a $30 per-square-foot contribution toward construction and the tenant requires only $12 per square foot in renovations, the landlord's outlay is reduced by $18 per square foot.
To that end, the City of Cadillac, also a limited partner in the venture, established a Local Development Finance Authority ("LDFA") which has been seeking to sell bonds to pay for the capital costs of the groundwater cleanup facility.
Capital costs increased significantly from the previous month.
In consideration of its commitment to New York State, IBM is eligible to receive up to $13 million in grants for employee training and capital costs for the three projects from ESD's JOBS NOW fund, sales tax abatements valued at $8.

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