What are the two main types of operating expenses?

1. Operating expenses are the costs of running the business that are not directly related to producing or buying its products. 2. They split into selling expenses and general and administrative expenses. 3. Selling expenses cover marketing and distribution, including salaries and commissions for salespeople, advertising, sales supplies and delivery. 4. General and administrative expenses cover items that tie to neither production nor sales, such as top management salaries, utilities, office supplies, interest, insurance and rent. 5. Direct materials, direct labor and factory overhead sit inside cost of goods sold instead. _Source: OpenStax Introduction to Business (CC BY 4.0), Ch 14 "Using Financial Information and Accounting", section 14.5 The Income Statement_