As the investment costs incurred at a cost of acquisition are referred to.
In the business sense, it is not about cost, as investments included in the asset accounting and lead to changes in depreciation. Therefore, represents an investment at the time of acquisition merely constitutes an exchange of assets or an increase in total assets by the induced depreciation in subsequent years then represent expenses incurred in economically correct sense dar.
Investments are designed for a longer period. For example, the costs are not immediately deducted from the purchase of the profits in buildings or production facilities that are used over many years. In tax purposes are investments no cost - so no operating expenses - but the conversion of assets. The assets will remain as capital assets within the company. With the use of investments ( assets ) they lose in value. That is, they wear out. During the useful life, impairment, caused by the wear and tear, burdened profit and loss account ( written off ).
Capital expenditures are also the English term capex called ( "Capital expenditure" ). In contrast to this are the expenses for the business operations, called Opex ( for "Operational expenditure" ).
The euphemistic expression Capex holiday states that a company in the foreseeable future renounces to investments and focused on generating profits with its available resources.