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Capital is an investment of an operational business capital expenditure is used to develop the activity to increase profits and reduce production costs it is a long-term investment to be made
by a company generates a financial gain for the future years, for example, a company can buy machines or install new machines to improve its production capacity and possibly increase its profits.
The expenditure in revenue and the opposite to the capital expenditure the expenditure in revenue implies the expenditure to engage in the daily operational activities, it is therefore about the expenses incurred in the course of normal operations, they are also immediately recognized example stationery, printing, the salary cost of electricity insurance repair expenses are charged to the income statement when they are made.
Conclusion Capital expenditure is long term expenditure, revenue expenditure is short term
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