Selling expenses include sales commissions, advertising, promotional materials distributed, rent of the sales showroom, rent of the sales offices, salaries and fringe benefits of sales personnel, utilities and telephone usage in the sales department, etc.
What is included in selling expenses?
Selling expenses are the costs associated with distributing, marketing and selling a product or service. Marketing costs such as advertising, website maintenance and spending on social media. Selling costs such as wages, commissions and out-of-pocket expenses.
What goes under selling and administrative expenses?
Selling, General & Administrative (SG&A) Expense. This includes expenses such as rent, advertising, marketing, accounting, litigation, travel, meals, management salaries, bonuses, and more. On occasion, it may also include depreciation expense, depending on what it’s related to. In an income statement.
What falls under SG&A?
Examples of SG&A
SG&A expenses include sales commissions, advertising, promotional materials, compensation of the company’s officers as well as the marketing, sales, finance and office staffs, rent, utilities, supplies, computers, etc. provided they are outside of the manufacturing operations.
What is included in administrative expenses?
Examples of Administrative Expenses
Building rent, insurance, subscriptions, utilities, and office supplies may be classified as either a general expense or an administrative expense. Depending on the asset being depreciated, depreciation expense may be classified as a general, administrative, or selling expense.