Operating expenses include
A) marketing-related expenses.
B) the cost for independent dealers to prepare for the distribution of the product.
C) interest on all loans.
D) income taxes.

Question

Quizplus · Accepted Answer

Operating expenses typically include expenses related to the day-to-day operations of a business, such as salaries, rent, utilities, and marketing-related expenses. Choice B may be included if the company uses independent dealers, but it is not a typical operating expense. Interest on loans (choice C) and income taxes (choice D) are not considered operating expenses.

Operating Expenses Include