operating expense

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Operating Expenses

A company's expenses related to the production of its goods and services. Examples of operating expenses include wages for employees, research and development, and costs of raw materials. Operating expenses do not include taxes, debt service, or other expenses inherent to the operation of a business but unrelated to production. See also: Operating income.
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operating expense

An expense incurred in transacting normal business operations. Operating expenses include administrative and selling expenses but exclude interest, taxes, and cost of goods sold.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.
References in periodicals archive ?
The reduction of government operational expenditure is one of six initiatives launched following the announcement of the Fiscal Balance Programme that aims to balance the government's budget by 2022, while enhancing service delivery to citizens.
The annual minimum levels for each of the criteria are 30 percent for national population coverage, 5 megabits per second (Mbps) for the minimum average broadband speed, and R40 billion for the capital and operational expenditure.
BMI said it expects to improve storage performance, simplify system management and reduce operational expenditure using EMC's technology solutions.
Other commitments include a performance security equivalent to either 10 percent as a cash bond or 30 percent as surety bond of its annual budgeted capital and operational expenditure commitment.
'Based on our feasibility study, in terms of capital expenditure and operational expenditure, trams are 50 and 30 per cent cheaper compared to conventional rail public transportation.
"Reducing asset owners' capital expenditure whilst minimising their operational expenditure is
These new cloud services enable end-user companies in the region to cut their fixed and operational expenditure by as much as half, while also reducing their carbon footprint due to more efficient use of resources.
Previously such services were supported by independent networks, but the move to a single, converged IP infrastructure provided by Alcatel-Lucent will simplify and streamline network management, cut the cost of network operations and help lower NTT Com's operational expenditure through a measurable decrease in energy consumption.
According to the Federal Secretary Ministry of Postal Services, total budget of the department is almost 11 billion, out of which 80 % is allocated for salaries of 48000 employees and the rest 20 % is supposed to be utilized for operational expenditure.
The EAC must respond to a number of challenges, which include the implementation of large development projects like the natural gas terminal, increasing productivity and cutting operational expenditure.
On the other hand, the treaty establishes that its operational expenditure on the ground must remain part of the Commission's budget.
"ICT can play a critical role in facilitating growth by allowing organisations to move away from a capital expenditure model to a operational expenditure model.

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