Is "Advertising" a Manufacturing, Selling, or Administrative Expense in terms of its function?

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Is "Advertising" a Manufacturing, Selling, or Administrative Expense in terms of its function?

2006-10-27 04:16:30 · 3 answers · asked by Lady B 2 in Business & Finance ➔ Corporations

3 answers

It's a selling expense because the sole purpose of advertising is to generate sales.

2006-10-27 05:02:23 · answer #1 · answered by Sinned2471 3 · 0⤊ 0⤋

Selling

2006-10-27 11:23:53 · answer #2 · answered by Anonymous · 0⤊ 0⤋

Its a selling expence in terms of its function. this is because, it is part of trading, and normally used to derive the "gross profit". the administrative expences are used to derive the "net profit".

2006-10-27 11:28:24 · answer #3 · answered by Nnamsco 3 · 0⤊ 0⤋