How to Determine Whether Expenses is Capex or Opex

Last updated at August 11, 2026 by

How to Determine Whether Expenses is Capex or Opex - AP Process (P2P Process)

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How to Determine Whether Expenses is Capex or Opex :- Purchases of Assets -> Capex Installation of Assets -> Capex After Installation of Assets -> Increases Efficiency beyond Previous Level -> Capex -> Maintains Efficiency upto Original Level -> Opex

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CA Maninder Singh

CA Maninder Singh is a Chartered Accountant with 16+ years of practical experience and 20+ years of teaching experience. At Teachoo, he simplifies Accounts, Tax and GST with step-by-step examples so students can apply concepts confidently in exams and real life.

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