Boosting Your Financial IQ
Boosting Your Financial IQ
112: The Ins and Outs of CapEx
Welcome to Boosting Your Financial IQ with your host, Steve Coughran. Today, we're diving into "The Ins and Outs of CapEx." Capital expenditures, or CapEx, are vital for business growth, but understanding them is key. We'll explore how companies establish thresholds for CapEx, ensuring investments align with strategic objectives. Delving into the mechanics, we'll demystify depreciation and amortization, crucial for assessing asset value over time. Moreover, we'll dissect the nuances of capitalizing assets like technology, illuminating how this impacts financial statements. Why? Because comprehending CapEx lays the groundwork for our next episode on free cash flow. Tune in as we navigate the financial landscape, empowering you to make informed decisions.
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