An acronym for Operating Expenses, OpEx refers to the ongoing costs associated with the daily operations of business products, services and/or systems.
Operational expenditures stand in contrast to capital expenditures, or CapEx, which are the costs associated with acquiring, developing or upgrading physical assets such as hardware systems or intangible assets like patents and other intellectual property.
OpEx from an Accounting Perspective
From an accounting perspective, OpEx or operational expenditures refer to business costs needed to ensure the daily operations of the business, such as wages and other administrative costs, utilities and maintenance.
OpEx costs are fully deducted on income statements in a given accounting period, whereas CapEx costs need to be capitalized (depreciated or amortized) over the expected life of the asset.
IT Solutions Builder TOP IT RESOURCES TO MOVE YOUR BUSINESS FORWARD
Which topic are you interested in?
What is your company size?
What is your job title?
What is your job function?
Searching our resource database to find your matches...
Stay up to date on the latest developments in Internet terminology with a free newsletter from Webopedia. Join to subscribe now.
The following coding and IT boot camp facts and statistics provide an introduction to the changing trends in education and training programs. Read More »Top Cloud Computing Facts
The following facts and statistics capture the changing landscape of cloud computing and how service providers and customers are keeping up with... Read More »
Java is a high-level programming language. This guide describes the basics of Java, providing an overview of syntax, variables, data types and... Read More »Java Basics, Part 2
This second Study Guide describes the basics of Java, providing an overview of operators, modifiers and control Structures. Read More »Network Fundamentals Study Guide
Networking fundamentals teaches the building blocks of modern network design. Learn different types of networks, concepts, architecture and... Read More »