Capital Expenditure can be broken up into 4 separate components;
International Infrastructure Management Manua
The International Infrastructure Management Manual defines Capital Expenditure (CAPEX) as: ''expenditure used to create new assets or to increase the capacity of existing assets beyond their original design capacity or service potential. CAPEX increases the value of asset stock.
Victorian Auditor-General's Office
The Victorian Auditor-General's Office defines 'Capital Expenditure' as money an entity spends on:
- new physical assets, including buildings, infrastructure, plant and equipment;
- renewing existing physical assets to extend the service potential or life of the asset.
Non-capital Expenditure can be broken up into 2 separate components;