What Are Capital Expenditures & How Do They Depreciate?

What Are Capital Expenditures & How Do They Depreciate?

Kelly Schmid, director of valuation services at Forensic Strategic Solutions, explains what capital expenditures are (also known as fixed assets). She also discusses the replacement and depreciation of capital expenditures, as well as the common misconception that depreciation and capital expenditures should always be equal in a normalized cash flow forecast.