A capital expenditure is an amo, spent to acquire or improve a long-term asset such as buildings or equipment. Usually the cost is recorded in an account classified as Plant and Equipment & Property, Furniture & Fixture. The cost (except for the cost of land), will be charged as depreciation expense over the useful life of the asset to the Profit & Loss A/c
A revenue expenditure is an amount that is incurred immediately,—thus being matched with revenues of the current accounting period. Routine repairs are revenue expenditures because they are charged directly to Repairs & Maintenance Expense. Even significant repairs that do not improve the asset & do not extend the life of the asset (the repairs merely maintain the asset to its previous condition) are revenue expenditures.