Our Financial Analysis Success Kit is Ready!
Why you should take a look at the Financial Analysis Success Kit:
We've combined all our highly popular financial analysis tools into one mega-financial-analysis-kit that will save you hundreds of dollars if purchased separately. The kit contains 9 files packed with the most important financial ratio analysis tools you can find to help rocket your way to mastering financial analysis. The kit includes:-
The eBook "Learn Ratio Analysis In Minutes"
-
The Learn Financial Ratio Analysis Excel Spreadsheet (2 versions!)
-
A BONUS...Our eBook of "Key Financial Statement Terms"
-
Another HUGE BONUS...Five-Part Financial Ratio Cheat Sheet Series
Learn more on our product page:
Take a LookQuick Definition
A summation of various expenses incurred during company operations.
[sc:kit03 ]Explanation of Operating Expenses
Also called Total Operating Expenses and listed on the Income Statement, the Operating Expenses are the combination of the individual expenses the company has recorded. Expenses such as Research and Development, Sales General and Administration, Amortization of assets, and Lease Payments are often listed, but there may be many more.
Importance of Operating Expenses
Since businesses in separate industries end up having unique types of expenses, companies can choose how they list their expenses. Each major expense needs to be watched closely, as small expenses one period can quickly increase by the next period and can sometimes be a future indicator of problems. Operating Expenses also tend to follow sales, but if the percentage of Operating Expenses increase compared to sales, this is a clear sign more investigation needs to be done.