Classification of Business Expenses

Depreciation on salespersons' cars

Selling expense

Rent on equipment used in the factory

Manufacturing overhead

Lubricants used for machine maintenance

Manufacturing overhead

Salaries of personnel who work in the finished goods warehouse

Manufacturing overhead

Soap and paper towels used by factory workers at the end of a shift

Manufacturing overhead

Factory supervisors' salaries

Manufacturing overhead

Heat, water, and power consumed in the factory

Manufacturing overhead

Materials used for boxing products for shipment overseas

Selling expense

Advertising costs

Selling expense

Workers compensation insurance for factory employees

Manufacturing overhead

Depreciation on chairs and tables in the factory lunchroom

Manufacturing overhead

The wages of the receptionists in the administrative offices

Administrative expense

Cost of leasing the corporate jet used by the company's executives

Administrative expense

The cost of renting rooms at a Florida resort for the annual sales conference

Selling expense

The cost of packaging the company's product

Direct Materials or Manufacturing Overhead