Which of the following is included in capital spending?

Capital spending refers to expenditures that a business or organization makes to acquire, upgrade, or maintain physical assets such as property, buildings, technology, or equipment. This type of spending is aimed at creating future benefits and generally involves significant investment that is expected to last beyond the current accounting period.

The correct choice involves the construction or improvement of buildings, which is a direct investment in physical infrastructure. This kind of capital expenditure enhances or expands the physical capacity of a business, contributing to long-term revenue generation.

Other options represent operating expenses rather than capital expenditures. Staff salaries and rent for premises are costs associated with daily operations and maintaining current assets, while marketing campaigns typically aim to increase sales in the short term rather than invest in long-term asset growth.