Administrative Expenses
Code: 5200
👁 Views: 107
Account Information
| Financial Statement | Income Statement |
| Normal Balance | Debit |
Definition
General administrative expenses
Sub-accounts
📐 IFRS vs US GAAP Accounting Treatment
IFRS
IAS 1
Presentation of Financial Statements
US GAAP
ASC 225
Income Statement
❓ Frequently Asked Questions
Q: What are common examples of administrative expenses?
A: Management salaries, administrative office rent, office utilities, office supplies, legal and audit fees, general insurance, training, travel.
Q: Can administrative expenses be capitalized within fixed assets or inventory?
A: No, general administrative expenses are not included in the cost of fixed assets or inventory, as they are not directly related to the acquisition or production of the asset.