On an income statement,operating expenses that cannot be linked to cost of goods sold or to sales are known as which type of expense?
A) incidental
B) functional
C) miscellaneous
D) general and administrative

Question

Quizplus · Accepted Answer

General and administrative expenses are the expenses that cannot be directly linked to the production or sale of goods or services. They include expenses such as rent, salaries of non-production staff, and office supplies. Incidental or miscellaneous expenses refer to small or insignificant expenses that are not categorized under any specific expense type. Functional expenses are expenses that relate to specific business functions such as marketing or research and development.

On an Income Statement,operating Expenses That Cannot Be Linked to Cost