Difference between revisions of "General and Administrative (G&A) Expense"
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| − | “General and administrative (G&A) expense” means any management, financial, and other expense which is incurred by or allocated to a business unit and which is for the general management and administration of the business unit as a whole. G&A expense does not include those management expenses whose beneficial or causal relationship to cost objectives can be more directly measured by a base other than a cost input base representing the total activity of a business unit during a cost accounting period. <ref>FAR 2.1</ref> | + | '''“General and administrative (G&A) expense”''' means any management, financial, and other expense which is incurred by or allocated to a business unit and which is for '''the general management and administration of the business unit as a whole'''. G&A expense does not include those management expenses whose beneficial or causal relationship to cost objectives can be more directly measured by a base other than a cost input base representing the total activity of a business unit during a cost accounting period. <ref>FAR 2.1</ref> |
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Examples of G&A costs are the presidents salary, the accounting function, and sales and marketing. | Examples of G&A costs are the presidents salary, the accounting function, and sales and marketing. | ||
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==References and Notes== | ==References and Notes== | ||
<References/> | <References/> | ||
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[[Category: Definitions]] | [[Category: Definitions]] | ||
Latest revision as of 12:18, 31 March 2015
“General and administrative (G&A) expense” means any management, financial, and other expense which is incurred by or allocated to a business unit and which is for the general management and administration of the business unit as a whole. G&A expense does not include those management expenses whose beneficial or causal relationship to cost objectives can be more directly measured by a base other than a cost input base representing the total activity of a business unit during a cost accounting period. [1]
Examples of G&A costs are the presidents salary, the accounting function, and sales and marketing.
References and Notes
- ↑ FAR 2.1
