Operating expenses

Operating expenses,

Definition of Operating expenses:

  1. An expense incurred in carrying out an organizations day-to-day activities, but not directly associated with production. Operating expenses include such things as payroll, sales commissions, employee benefits and pension contributions, transportation and travel, amortization and depreciation, rent, repairs, and taxes. These expenses are usually subdivided into selling expenses and administrative and general expenses. Also called non-manufacturing expenses.

How to use Operating expenses in a sentence?

  1. The operating expenses were decreasing as our inventory had an unexpected few years of usable life in it which delighted us.
  2. Knowing what your operating expenses are to make a product will help you to set a correct price for it.
  3. The company broke even on profits because they had a lot of operating expenses that cost quite a bit of money.

Meaning of Operating expenses & Operating expenses Definition