ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Bottom line, spending is disbursing money for living expenses and others, while investing is spending your money to build your financial wealth. When you start to spend less on things that don’t matter in the long-term, you can put that extra money in the right investment vehicles to set up for a secure future.

Detailed explanation-2: -Securities-Another name for investments such as stocks or bonds. The name ‘securities’ comes from the documents that certify an investor’s ownership of particular stocks or bonds.

Detailed explanation-3: -What Is Business Investment? Business investment is spending by private businesses and nonprofits on physical capital-long-lasting assets used to produce goods and services.

Detailed explanation-4: -A capital expenditure (CapEx) is the money companies use to purchase, upgrade, or extend the life of an asset. Capital expenditures are designed to be used to invest in the long-term financial health of the company.