31 October 2024
Non-operating expenses are costs that are not related to a company's core business operations. These expenses are recorded separately on the income statement to give a clearer picture of the company's operational performance. Common examples include:
Interest Expense: Costs incurred from borrowing money. Loss on Sale of Assets: Losses from selling assets not related to the core business. Restructuring Costs: Expenses related to reorganizing the company. Legal Expenses: Costs from lawsuits or settlements. Write-downs: Reducing the value of assets like inventory or receivables etc.
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