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Direct & indirect exp

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(Querist)
28 January 2015 What is meaning of direct & indirect exp with examples?
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pranali

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pranali (Querist)
28 January 2015 Please reply me
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CA SURENDRA KUMAR RAKHECHA

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CA SURENDRA KUMAR RAKHECHA (Expert)
02 February 2015 Direct expenses are those expenses which are directly related to the Enterprise's Operational Activities.
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For example, Cost of Raw Materials. If no activities are run, no expenditure would be there.
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CA SURENDRA KUMAR RAKHECHA

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CA SURENDRA KUMAR RAKHECHA (Expert)
02 February 2015 Indirect expenses are those expenses which are not related to the Enterprise's Operational Activities.
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These are incurred because the Enterprise is running regardless of its operational activities.
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For example, Salary of Security Staff.
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