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Showing posts with the label Is Salaries Expense A Direct Expense

Is Salaries Expense A Selling Expense Direct Or Indirect

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Yes, Salaries Expense is a Direct Revenue, as it  is used to make Sales for the company. According to Matching Concept Gaap , all the Revenues must be matched with the Expenses incurred in earning these revenues. Selling Expenses Direct Or Indirect Selling expenses may be direct or indirect. If salaries expenses are related to cost of production of goods, then these are called direct expenses, but if these are not related to cost of production of goods, then these are called indirect expenses.