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Question 28 - 820-605 discussion
How are operating expenses (OpEx) different from capital expenses (CapEx)?
A.
OpEx are investments a company pays for up-front, while CapEx are the on-going costs to run a business.
B.
OpEx includes software licenses with contracts that have user rights in perpetuity, while CapEx includes software services that are easily reconfigured.
C.
OpEx is expenses for the day-to-day operation of a business, while CapEx is investments in assets.
D.
OpEx has depreciation, while there is no deprecation with CapEx.
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