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differencess betwen operating expencess an differed revenue
expenditure.
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Answer Posted / rajkumar
Operating expenses are a category of expenses that a
business incurs, as a result of performing its normal
business. Example: The payment of employees' wages and
funds allocated toward research and development are
operating expenses.
Revenue expenditure is that which is incurred in
anticipation of generating
future income for not more than
one yr for example - expenses incurred in sales promotion
and advertisement of
an enterprise,Whereas deferred revenue expenses are those
for which payment has been made or a
liability has been incurred on the presumption that it
will be of benefit over a
subsequent period. Example: Advertising cost.
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