Manufacturing operations are expenses related to production….First an expense is not amortized, only assets are amortized.
Second, manufacturing operations expenses should be included with your COGS (cost of good sold) or if you want to keep your cost separate you can put them into an account right under COGS. Administrative expenses have nothing to do with operations, they’re salaries, office supplies, legal fees etc.
well that is vaguely worded question but.
amort exp for mfg operations should be charged to manufacturing expense or cost of sales. This is not an SG&A item.
David Z | Jan 11, 2010 | Reply
Manufacturing operations are expenses related to production….First an expense is not amortized, only assets are amortized.
Second, manufacturing operations expenses should be included with your COGS (cost of good sold) or if you want to keep your cost separate you can put them into an account right under COGS. Administrative expenses have nothing to do with operations, they’re salaries, office supplies, legal fees etc.
So yes, your phrase has a lot wrong with it.
Jane Marple | Jan 12, 2010 | Reply