What is the operating cost of traditional enterprises?

Operating costs are directly related to operating income, and various direct costs of ownership term and ownership object have been determined. Operating costs mainly include main business costs and other business costs.

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, fuel, power, packaging and other direct materials actually consumed in the production and operation of enterprises.

2. Direct salary

Direct wages include wages, bonuses, allowances and subsidies for personnel directly engaged in product production in enterprises.

3. Other direct expenditures

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

4. Manufacturing cost

Enterprises can make appropriate adjustments to the cost structure according to their own needs.