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Investments in land, buildings and machinery expected to serve beyond a year are:
ACommon expenditures
BCapital expenditures
CCasual expenditures
DCurrent expenditures
Answer & Solution
Correct answer: B. Capital expenditures
1. The assets are long lived.
2. The benefits last more than a year.
3. They are capital expenditures.
_Source: OpenStax Introduction to Business, Chapter 16, Understanding Financial Management and Securities Markets._
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