OpEx
OpEx is the acronym for Operational Expenditure.
Operational Expenditure
The ongoing costs for running a product, business, or system. The day-to-day expenses, such as salaries, utilities, and rent, are necessary for the company’s routine operations. Unlike CapEx, OpEx is fully deducted in the accounting period they are incurred. These expenses are often seen as essential for the company’s immediate revenue generation and are usually lower in cost than capital expenditures but recur more frequently.
- Abbreviation: OpEx
