What is Foolsaurus?    In business, expenses are the costs
incurred in order to produce revenue.  Expanded Definition
Intuitively, everyone knows what expenses are. They are the
costs of doing business, whether it is cost of goods sold,
interest, or depreciation. These are the costs that are deducted
from revenue to derive net income.  Expenses can be divided up
into two types: operating and non-operating. All operating
expenses, those that are needed to run the business such as
salaries, paying the electric bill, research & development,
buying inventory, are subtracted from revenue directly or from
gross profit. Non-operating expenses are things like changes in
accounting policies, writedown of obsolete inventory, and losses
on sales of investments. These appear on the income statement
below the line showing operating profit.  Many expenses are
grouped together. For instance, salaries of management, utility
bills, rent on office space, and advertising are usually grouped
as part of the selling, general, & a