UK Accounting Glossary
Costs of managing and running a business.
Administrative expenses are the expenses that an organisation incurs not directly tied to a specific function such as manufacturing, production or sales.
The administrative expenses for the non-profit were considerably higher than expected so, yesterday, an investigation was launched into their operations.
Large companies tend to spend millions of pounds on administrative expenses because there are so many small costs that arise in their daily operations.
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This glossary post was last updated: 23rd December 2018.