Businesses make advance payments for a variety of different expenses. Any expense that is paid in advance of actually receiving the benefit of the payment is considered a prepaid expense for ...

Expenses are an unavoidable cost of doing -- and staying in -- business. When a business incurs an expense, there are two accounting methods it may use to record the expense to its books -- the cash ...

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. David Kindness is a Certified Public ...

Selling and administrative expenses include costs like marketing and rent, not tied to product production. Managers use these expenses to tailor company strategies and optimize operations. Frequent ...

Operating expenses are costs tied to a company’s day-to-day operations. Operating expenses are costs tied to the normal operations of a company. They include the day-to-day expenses of a company’s ...

Andrew Bloomenthal has 20+ years of editorial experience as a financial journalist and as a financial services marketing writer. Chip Stapleton is a Series 7 and Series 66 license holder, CFA Level 1 ...

Many businesses that do work for a client need to acquire goods or assets on behalf of the client in order to produce the agreed-upon work. For instance, a design firm would need domain names or ...

For decades, employee expense reporting has followed a familiar path: employees submit reports, managers approve them and the accounting department performs a final review. This workflow made sense ...