commitments for capital expenditure


commitments for capital expenditure
Expenditure on fixed assets to which a company is committed for the future. The aggregate amounts of contracts for capital expenditure not provided for in the accounts for the year and the aggregate amount of capital expenditure authorized by the directors but not yet accounted for should be disclosed in the notes to the accounts (according to the Companies Act, Schedule 4). These disclosures will usually be made in the directors' report.

Accounting dictionary. 2014.

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