If the Government establishes a new hospital, this expenditure incurred in the Government Budget will be a type of ______ expenditure.

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KollegeApply · Accepted Answer

If the Government establishes a new hospital, this expenditure incurred in the Government Budget will be a type of capital expenditure. Explanation: When the government establishes a new hospital, it is investing in creating a long-term asset. Such spending is classified as capital expenditure because it leads to the creation of infrastructure that will provide services over a long period.

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