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    RiveraMylene's Avatar
    RiveraMylene Posts: 6, Reputation: 1
    New Member
     
    #1

    Sep 13, 2009, 10:45 PM
    Example of pre operating expenses
    Hi, I'm Mylene, would like to search for your help, I have difficulties in distinguishing operating expenses and per operating expenses. Could you help to proveide me an example and the correct entries to record them. Thnaks
    morgaine300's Avatar
    morgaine300 Posts: 6,561, Reputation: 276
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    #2

    Sep 13, 2009, 11:08 PM

    A pre operating expense, or start up costs, are those incurred before the operations of the business start, costs related to getting the business up and running, but not the running itself. For instance, you may have to get a special permit to run your business, or perhaps you have travel costs involved while going to the new business site before it opens.

    They are expensed as they are incurred.
    abdulsamad75's Avatar
    abdulsamad75 Posts: 1, Reputation: 1
    New Member
     
    #3

    Aug 13, 2012, 04:15 AM
    Pre operating expense

    There is 20 year old company,
    Know they had open new branch for same business
    For last year we have incurred Salary / rent cost for that new branch but there is no revenue

    This expenses we can book as pre operating expenses Yes or No (Please explain)
    paraclete's Avatar
    paraclete Posts: 2,706, Reputation: 173
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    #4

    Aug 13, 2012, 05:42 AM
    This is a two year old question, you earn more points by making posts of your own

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