of goods sold is an operating expense on a merchandising company's income statement.

Name: of goods sold is an operating expense on a merchandising company's income statement.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Cost of goods sold (COGS) is not an operating expense; it is the direct cost of producing or purchasing the goods that a company sells during a specific period. Operating expenses are separate and include costs like rent, utilities, and salaries.

Of Goods Sold Is an Operating Expense on a Merchandising