What Are Expenses In An Income Statement ?

Expenses are of two types one is cost of goods sold and selling general and administrative 

Material consumed cost incurred by

Raw material consumed warrants income in the production process formula of learning stock + purchase - closing stock change in inventory of finished goods work in progress cost included in manufacturing of finished goods excise duty on self employee benefit expenses expenses include on KMP directors and employees of the companies it includes was forbidden phones director remuneration common commission is a staff welfare expenses

Finance cost it is the interest payment of the borrowings of the company

Depreciation and amortization expenses

 impairment of PPE

Other expenses cost audit fees rent for marketing spend etc.