Cost of living measures expenses for maintaining a standard of living. Changes can be tracked through cost-of-living indices. Purchasing power parity rates compare living costs across locations
DSA covers lodging, meals, gratuities and transport costs for official travel. DSA is paid only upon arrival at destination, not during en-route. No DSA for stays under 24 hours away from residence
Shows company's assets, liabilities, and shareholders' equity. Total assets must equal total liabilities plus shareholders' equity. Current assets include cash, marketable securities, and accounts receivable. Long-term assets consist of investments and property, plant, and equipment. Current liabilities include accounts payable and accrued expenses
Overhead refers to ongoing business expenses not directly related to product/service creation. Companies must pay overhead regardless of profitability. Overhead affects business profitability through net income calculation
CapEx are major, long-term purchases for physical assets like buildings and equipment. OpEx are day-to-day expenses like salaries, rent, and utilities. CapEx benefits company for more than one year, OpEx for one year or less. CapEx cannot be tax-deductible, OpEx can be
Expenditure refers to purchases with economic benefit during specified period. Three main types: Capital, Revenue, and Deferred Revenue Expenditures. Capital expenditures provide long-term returns, like equipment and machinery. Revenue expenditures are expected to be recovered within one year. Deferred revenue expenditures are costs paid but not yet earned