What Is an Outlay Cost?

Expenditure means paying for money.

Expenses

Right!

Expenditure means paying for money.

Chinese name

Expenses

Scope of application

Accounting

Meaning

Expenses are "money spent, expenses

Related

"Enterprise Accounting System"

Expenses: "Modern Chinese Dictionary" explains that expenses are "money and expenses"; expenditure is "paying". In China's accounting industry, expenditure generally refers to the outflow of expendable assets incurred by an enterprise in the course of production and operation to obtain another asset and to pay off debts. For a certain accounting period, expenditures can be cash expenditures or non-cash expenditures. In the long run, all expenditures are ultimately realized by cash expenditures. According to China's current "Enterprise Accounting System", "expenses refer to the outflow of economic benefits incurred by enterprises in daily activities such as selling goods and providing labor services." In accounting, expenses are still broader than expenses. Only those expenses incurred in order to obtain operating income in the production and operation activities of an enterprise are expenses. Expenses incurred for other reasons, such as repayment of loans, payment of accounts payable, payments for the distribution of profits, payments for the purchase of fixed assets, etc. have nothing to do with operating income and cannot constitute expenses of the enterprise. Sooner or later will eventually be converted into expenses, but not all expenses are expenses when they occur. It can be seen that the expense is the payment of money.