5.1.3.2 - Capital Expenditure
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Practice Questions
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What is capital expenditure?
💡 Hint: Think about investments that last long.
Name one example of capital expenditure.
💡 Hint: Consider projects that benefit the public for many years.
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Interactive Quizzes
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What is the main distinction between capital and revenue expenditure?
💡 Hint: Consider the duration of impact.
True or False: Capital expenditures include maintenance costs.
💡 Hint: Think about definitions.
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Challenge Problems
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Evaluate the economic effects of a significant capital expenditure increase in a recessionary environment. How might the government balance this?
💡 Hint: Think about the overall economic context and implications.
Propose a framework for managing capital expenditures in a sustainable manner within government budgets. Consider both revenue sources and long-term impacts.
💡 Hint: Evaluate both fiscal management and long-term planning.
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