Difference between cost and expense.
Answers
Answered by
2
Cost, are all disbursements made for the production of a good or service. These can be fixed and variable costs. But the important thing is that they are allocated directly to the produced good.
Expenditure(expense): These are all disbursements that, although necessary, are not directly related to the good or service produced.
I'll give you an example to make it better understood:
To make shoes, let's look at the costs and expenses:
Costs: Direct: leather, pins, soles, sewing (thread)
Spend: Scouting, electrical energy from the store and offices, shoes sellers
payment, etc.
Expenditure(expense): These are all disbursements that, although necessary, are not directly related to the good or service produced.
I'll give you an example to make it better understood:
To make shoes, let's look at the costs and expenses:
Costs: Direct: leather, pins, soles, sewing (thread)
Spend: Scouting, electrical energy from the store and offices, shoes sellers
payment, etc.
Answered by
1
Cost: an amount that has to be paid or spent to buy or obtain something.
Expense: a thing on which one is required to spend money.
Expense: a thing on which one is required to spend money.
Similar questions