Capex
AccountingCapital expenditure — cash spent acquiring or maintaining long-term assets.
In plain terms
Growth capex builds the future; maintenance capex just stops the present from falling apart.
1492 terms
Glossary
Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
Showing 3 terms
Read the full lesson →
Maintenance capex
Fundamental analysisThe capital spending needed just to keep the business running at its current level.
In plain terms
Separate it from growth capex. One is a cost of survival, the other an investment decision.
Asset turnover
Fundamental analysisRevenue divided by assets — how much sales each rupee of assets generates.
In plain terms
It collapses during a capex cycle because capital arrives before revenue does.