capital cost

• Custos iniciais necessários para adquirir, construir ou modernizar ativos físicos, como edifícios, máquinas ou equipamentos, geralmente usados no contexto empresarial e financeiro.

The initial expenditure required to acquire, construct, or upgrade physical assets such as buildings, machinery, or equipment, typically used in business and financial contexts.

1. Initial investmentB2formal

   The total amount of money required to purchase, construct, or acquire a long-term asset or project.

   Custo de capital

   • The company estimated the capital cost of the new factory at $10 million.
   • Capital costs for the project include land, equipment, and construction.
   • They secured a loan to cover the high capital cost of the machinery.

2. Fixed asset expenditureB2formal

   Expenses incurred to acquire or upgrade physical assets such as property, buildings, or equipment.

   Custo de capital

   • The budget for capital costs was approved by the board of directors.
   • Capital costs are depreciated over the useful life of the asset.
   • Reducing capital costs can improve a company's cash flow.