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(December 2010). Capital expenditures (CAPEX or capex) are expenditures altering the future of the business. A capital expenditure is incurred when a business spends money either to buy fixed assets or to add to the value of an existing fixed asset with a useful life extending beyond the taxable year.n accounting, a capital expenditure is added to an asset account, thus increasing the asset's basis (the cost or value of an asset adjusted for tax purposes). CAPEX is commonly found on the cash flow statement under Investment in Plant, Property, and Equipment or something similar in the Investing subsection.
Simply click the copy button and paste the following code in the website/blog/forum of your choice. Capex, an abbreviated word that signifies capital expenditures, capex is the amount of money spent by a company to upgrade, acquire, or maintain depreciable and tangible long-term physical assets.lso called capital spending or capital expense, capex can be a large expense item in manufacturing and owned distribution facility companies. Capex can be a very small expense income statement item or cash flow charge for a service company.