The Three Major Categories of Expenses Are

question 8

Multiple Choice

The three major categories of expenses are

• A) direct, semi-direct, and indirect.
• B) variable, fixed, and semi-variable.
• C) external, internal, and societal.
• D) manufacturing, promotion, and distribution.
• E) selling, administrative, and general.

---

Definitions:

After-Tax Cash Inflows

The net cash that a business generates after accounting for all taxes.

Required Return

The minimum return an investor expects to achieve on an investment, considering its risk level.

Internal Rate of Return

A financial metric used to gauge the profitability of potential investments.

NPV

An evaluation metric used to estimate the profitability of an investment or project by calculating the difference between the present value of cash inflows and outflows.