Accounting MascotAccounting Q&A

What are differences in operating expenses and total expenses?
submitted by Walter Seznick

renson

Operating expenses are the costs for things like payroll, rent, and office supplies that are part of running the business normally. Total expenses include those plus other costs like interest on loans or taxes. Basically, total expenses cover everything the company spends, not just the regular running costs.

furdie

Operating expenses are things like paying employees and rent. It's the regular costs of doing business.

Total expenses include other things, like taxes and interest. So, total expenses are bigger because they include more types of costs.

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