EQL208 1

The cost incurred by the business to perform daily operations is known as ____.

• income

• expense

Expenses can be categorized into _____ types.

• four

• three

Employee wages comes under _______ activity expenses.

• primary

• secondary

Interest on loan money comes under _____ activity expences.

• primary

• secondary

Money spent on settling consumer lawsuits falls under losses as expenses.

• True

• False

Money spent by the company to produce the goods is known as _____.

• net sales

• cost of goods sold

Money spent on research comes under operating expense.

• True

• False

Operating expense includes amount spent on promotion/advertisement.

• True

• False

Loss from the sale of long-term asset comes under losses as expenses.

• True

• False

Utilities like electricity come under primary expenses

• True

• False