Subclassifications of operating expenses are
A) Selling Expenses
B) General Expenses
C) Both A & B
D) Neither A or B

Question

Quizplus · Accepted Answer

Operating expenses can be classified into two main categories: selling expenses and general expenses. Selling expenses are the expenses incurred to promote and sell products or services, while general expenses are the costs associated with running the business as a whole. Therefore, both Choice A (selling expenses) and Choice B (general expenses) are correct subclassifications of operating expenses.

Subclassifications of Operating Expenses Are