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Cisco Exam 820-605 Topic 11 Question 94 Discussion

Actual exam question for Cisco's 820-605 exam
Question #: 94
Topic #: 11
[All 820-605 Questions]

How are operating expenses (OpEx) different from capital expenses (CapEx)?

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Suggested Answer: B, C

by Desire at Dec 05, 2024, 05:18 AM

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Karl
3 months ago
Wait, so I can't expense my daily coffee runs as CapEx? That's just unfair, I need those lattes to keep me going!
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Yuki
2 months ago
Don't worry, your daily coffee runs would fall under OpEx, not CapEx!
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Ressie
2 months ago
C) OpEx is expenses for the day-to-day operation of a business, while CapEx is investments in assets.
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Tonja
2 months ago
A) OpEx are investments a company pays for up-front, while CapEx are the on-going costs to run a business.
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Gabriele
4 months ago
I'm surprised option B even made it as a choice. Software licenses and services are a mix of OpEx and CapEx, not a clear-cut distinction.
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Carrol
2 months ago
I agree, there can be overlap between OpEx and CapEx when it comes to software licenses and services.
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Raymon
2 months ago
C) OpEx is expenses for the day-to-day operation of a business, while CapEx is investments in assets.
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Kayleigh
3 months ago
A) OpEx are investments a company pays for up-front, while CapEx are the on-going costs to run a business.
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Izetta
4 months ago
The key difference is the timing of the expenses. OpEx are recurring, while CapEx are one-time investments. It's a basic finance concept, really.
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Thurman
3 months ago
D) OpEx has depreciation, while there is no deprecation with CapEx.
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Carey
3 months ago
C) OpEx is expenses for the day-to-day operation of a business, while CapEx is investments in assets.
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Florinda
4 months ago
A) OpEx are investments a company pays for up-front, while CapEx are the on-going costs to run a business.
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Lashanda
4 months ago
I find option D quite amusing. As if there's no depreciation with CapEx - that's just absurd! Accountants would have a field day with that one.
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Ezekiel
4 months ago
Option C is the correct answer. OpEx covers the day-to-day operational costs, while CapEx refers to investments in long-term assets. This distinction is crucial for proper financial management.
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Sue
3 months ago
Depreciation is a key factor in OpEx, while CapEx doesn't have that. Good to know!
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Brittani
3 months ago
D
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Tess
3 months ago
Thanks for the clarification! OpEx being up-front investments and CapEx being ongoing costs makes sense.
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Avery
4 months ago
A
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Mel
4 months ago
That's right! OpEx is for day-to-day expenses and CapEx is for long-term investments.
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Vincent
4 months ago
C
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Alyce
4 months ago
OpEx includes software licenses with contracts that have user rights in perpetuity, while CapEx includes software services that are easily reconfigured.
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Gerald
4 months ago
I think OpEx is expenses for the day-to-day operation of a business, while CapEx is investments in assets.
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Remona
5 months ago
OpEx are investments a company pays for up-front, while CapEx are the on-going costs to run a business.
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