Which is an example of OpEx in a salon?

• A. Ongoing day-to-day expenses such as supplies
• B. Long-term asset purchases like equipment
• C. Purchasing land or a building
• D. Installing a new facility

Answer: (A)

OpEx is about the day-to-day costs needed to run the business. In a salon, that includes ongoing items you buyregularly and use up, such as supplies, utilities, and staff wages—expenses that are booked in the period they occur and reduce net income right away. CapEx, on the other hand, covers investments in assets that will benefit the business for more than one year, like purchasing equipment, buying land or a building, or installing a new facility; these are capitalized and depreciated over time. So the example of OpEx here is the ongoing day-to-day expenses such as supplies, because they are regular operating costs rather than long-lived asset investments.