Which is not a component of capital expenditure?

Question

KollegeApply · Accepted Answer

Interest payments Explanation: Interest payments are part of revenue expenditure, as they are recurring payments made by the government for servicing its debt. In contrast, capital expenditure involves long-term investments or payments that create or acquire assets (like acquisition of land, loans to states, or repayment of borrowings). Therefore, interest payments are not a component of capital expenditure.

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