Which of the following best describes the term "expenses"?
A)The amount of total profits earned by a business since it began operations
B)The amount of interest or claim that the owners have in the business
C)The future economic resources of a business entity
D)The outflow of assets resulting from the sale of goods and services

Question

Quizplus · Accepted Answer

Expenses refer to the outflow of assets resulting from the sale of goods and services. These are the costs incurred by a business in order to generate revenue and operate effectively. Examples of expenses include salaries, rent, utilities, and materials.

Which of the Following Best Describes the Term "Expenses