Operating Expenses consist of
A) Interest Expense and General Expenses.
B) Selling Expenses and Cost of Goods Sold.
C) Interest Expense and Selling Expenses.
D) General Expenses and Selling Expenses.
E) Interest Expense and Cost of Goods Sold.

Question

Quizplus · Accepted Answer

Operating Expenses consist of expenses that are incurred in the normal course of business operations, such as selling expenses (e.g. advertising, salaries of sales personnel, commissions, etc.) and general expenses (e.g. rent, utilities, insurance, salaries of administrative personnel, depreciation, taxes, etc.). Therefore, the correct answer is D - General Expenses and Selling Expenses.

Operating Expenses Consist of