Which of the following is a capital expense?

A capital expense is the cost of acquiring or making improvements to fixed assets that have a useful life of more than one year1. A building purchase is an example of a capital expense, as it is a long-term investment that increases the value of the company’s assets2. Building lease, maintenance, and insurance are not capital expenses, as they are recurring or short-term costs that do not increase the value of the company’s assets3.