Expenditure and expense are two terms that can often be confusing, but there is a big difference between them. Expenditure refers to money spent with the intention of acquiring an asset or resource. For example, when a company purchases new machinery for their factory, this would be considered an expenditure. On the other hand, expenses refer to money spent in order to maintain operations. Examples include utility bills, office supplies, and employee wages. While both expenditures and expenses come out of a company’s budget, they differ greatly in their purpose – the former being used to acquire something of lasting value, while the latter is meant to fuel current operations.