administrative costs

Office operation spending

Administrative costs are the expenses of running an organization that aren't directly tied to producing goods or services.

These include salaries for management and support staff, office supplies, rent, utilities, and legal fees.

Critics often target administrative costs as wasteful overhead: The charity spends too much on administrative costs and not enough on programs.

Also called administrative expenses.

Opposites
business function

administrative costsproduction costs

Expenses of making goods

manufacturing costs · cost of goods sold · production expenses · operational costs · capital expenditures

cost classification

administrative costsdirect costs

Costs traceable to production

variable costs · direct labor · unit costs

revenue generation

administrative costsrevenue

Business income total

income · sales revenue · gross receipts · earnings · profits

Family

costs, administration, administrative

Familiarity
Top 500,000
Profile
Used worldwide · Timeless · Abstract · Negative · Rated G