Capital expenditures (CapEx) are funds spent by a company to acquire, upgrade, or maintain physical assets such as property, equipment, or infrastructure. Unlike operational expenditures (OpEx) which are for day-to-day expenses, CapEx investments are intended to generate long-term benefits and are typically depreciated or amortized over their useful life. These expenditures are critical for business growth, efficiency improvements, and maintaining competitive advantage in the market.
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