Problem:
Determine if each of the following would be an operating expense or a capital expenditure.
- Paying $1.6 million for a new office building
- Paying for 3 calculators at $25 each for cashiers in the office.
- Paying $1500 for employee to travel to training seminar.
- Paying $12000 to rent equipment for a special project.
- Paying $48,000 for a new car for the company VP
- Paying $280,000 for office furniture for the new building.
Note: Provide support for your rationale.