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
A)miscellaneous administrative expenses.
B)indirect expenses.
C)direct expenses.
D)operating expenses.

Question

Quizplus · Accepted Answer

Direct expenses are expenses that are traceable to a specific department and can be controlled by the department manager. These expenses are incurred only for the benefit of the department and are not shared by other departments. Examples of direct expenses include salaries and wages of department personnel, supplies and materials used exclusively by the department, and rent or utility costs specific to the department.

Operating Expenses Directly Traceable to or Incurred for the Sole