Tag Archives: owner’s earnings

Analyzing Capital Expenditures-Buffett and Sears Case Study

A reader asks about calculating capital expenditures and Buffett’s owner’s earnings.  I believe only maintenance capex is deducted in determining owner’s earnings not growth capex because maintenance is mandatory while growth capex is discretionary.

This document is 11 pages and it includes other links.

http://www.scribd.com/doc/73054258/Owner-Earnings-and-Capex