What are the operating costs?

Operating costs mainly include main business costs and other business costs.

1, main business cost

The main business cost is the cost of regular activities such as selling goods and providing services. Enterprises generally transfer the cost of selling goods and providing services to the main business cost when confirming the main business income such as selling goods and providing services, or at the end of the month. The main business cost shall be accounted for in detail according to the main business type. At the end of the period, the balance of the main business cost will be transferred to the "profit of this year" account, and there will be no balance in this account after the carry-over.

2. Other business costs

Other business costs are the expenses incurred by other business activities other than the main business activities confirmed by the enterprise. Other business costs include the cost of selling materials, depreciation of leased fixed assets, amortization of leased intangible assets, cost or amortization of leased packaging materials, etc.

Extended data

The operating costs of selling products, commodities and providing services are composed of production and operating costs. The composition of product production cost (also called manufacturing cost) of industrial enterprises mainly includes:

1. Direct materials: Direct materials include raw materials, auxiliary materials, spare parts, outsourced semi-finished products, fuels, power, packaging and other direct materials that are actually consumed in the production and operation of enterprises and directly used in product production.

2. Direct wages: Direct wages include wages, bonuses, allowances and subsidies of employees directly engaged in product production.

3. Other direct expenses: Other direct expenses include employee welfare expenses of personnel directly engaged in product production.

4. Manufacturing expenses: Enterprises can make appropriate adjustments to the cost structure according to their own needs.

References:

Baidu encyclopedia-operating costs