Selling costs include expenses directly associated with the promotion and distribution of a product or service. These costs encompass advertising, sales personnel salaries, commissions, and promotional materials. Selling costs are crucial for driving sales and are typically recorded as operating expenses on the income statement. They are distinct from production costs and are essential for evaluating the efficiency of a company’s sales strategy.
Get Your FREE Exam Secrets Cheat Sheet!
Plus a 3-Part CMA Video Course
82,000+ accounting and finance pros got their free CMA cheat sheet.
Get yours too, today!