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Simple English definitions for legal terms
capital outlay
Read a random definition: in-kind income
A quick definition of capital outlay:
Capital outlay refers to the money a business spends on acquiring, equipping, and promoting itself. This includes expenses for things like buying property, equipment, and advertising. Essentially, it is the money a business invests in itself to help it grow and succeed.
A more thorough explanation:
Definition: Capital outlay refers to the money spent on acquiring, equipping, and promoting a business. It is a type of capital expenditure.
Examples:
- Buying new equipment for a manufacturing plant
- Constructing a new building for a business
- Investing in marketing and advertising campaigns to promote a product or service
These examples illustrate how capital outlay involves spending money on assets that will benefit a business in the long term. By investing in new equipment or a new building, a business can improve its operations and increase its capacity to generate revenue. Similarly, investing in marketing and advertising can help a business attract new customers and increase sales.