Operating expenses directly traceable to or incurred for the sole benefit of a specific department and usually subject to the control of the department manager are termed direct operating expensesa. Trueb. False

Question

Jaylee

Business

18 June, 01:51

Operating expenses directly traceable to or incurred for the sole benefit of a specific department and usually subject to the control of the department manager are termed direct operating expensesa. Trueb. False

+4

Answers (1)

Know the Answer?

Belinda Sellers · Answer 1

The correct answer is True.

Explanation:

Operating expenses are those that allow the daily activity of a company to be maintained, which are not usually directly related to production. The term operating expenses and operational expenses are often used.

These costs are incurred in the normal development of the economic entity, according to the purpose with which it was founded and record the expenses incurred during a fiscal year in relation to the development of financial, legal, commercial executive activity and the administrative management direction.

The concept of operating expenses is divided into financial expenses, administrative expenses, general expenses and representation expenses. This term includes wages, sales commissions, travel, fees, transportation, office services, worker benefits, check writing, interest payments, leases and rentals, insurance, taxes, repair and provisions.