Expense

“ By not confining his expense within his income, he encroaches upon his capital. Like him who perverts the revenues of some pious foundation to profane purposes, he pays the wages of idleness with those funds which the frugality of his forefathers had, as it were, consecrated to the maintenance of industry. ”

“ Expense, and great expense, may be an essential part in true economy. If parsimony were to be considered as one of the kinds of that virtue, there is, however, another and a higher economy. Economy is a distributive virtue, and consists not in saving, but in selection. ”

“ If the mean term, which we are searching for, between an infinite value and no value at all is expressed in the case of every product, by the amount of time and expense which the product cost, a poem which has cost its author thirty years of labor and an outlay of ten thousand francs in journeys, books, &c., must be paid for by the ordinary wages received by a laborer during thirty years, plus ten thousand francs indemnity for expense incurred. ”

“ Such expenses need not relate directly to the production of income for the business. It is enough that the expense, if 'ordinary and necessary,' is directly connected with or proximately results from the conduct of the business. ”

“ Of course I can't give exact figures, as it would be hard to get at them, because you know each mercantile enterprise, each selling shop, each sewing shop, has its own income and expense account, just as each family has its own degree of economy in incurring expenses with special proportions between their various expenditures. ”

“ If we can solve this appalling problem, we shall have the key of the social system for which humanity has been searching for six thousand years. In the presence of this problem, the economist recoils confused; the peasant who can neither read nor write replies without hesitation: "As many as can be made in the same time, and with the same expense."
The absolute value of a thing, then, is its cost in time and expense. ”

“ The net difference between the income and the cost of securing the income, as indicated by the expense accounts, will represent the value added to the assets of the business, and will therefore be reflected tangibly in an increase in the value of the assets by that amount. This increase will usually be reflected either in the cash holdings or in claims against customers. ”

“ If the business man analyzes his sources of income into several divisions the same as he does his items of expense, he will find it an easy matter to correct errors that creep in the business. He does not have to worry about those items of expense which show minus, nor about those items of receipts which show plus. ”

“ If it should be found impracticable for Great Britain to draw any considerable augmentation of revenue from any of the resources above mentioned, the only resource which can remain to her, is a diminution of her expense. ”

“ The expense of feeding the Poor will be provided for by selling the portions of Food delivered from the public kitchen at such a price, that those expenses shall be just covered, and no more:— so that the Establishment, when once completed, will be made to support itself. ”

“ Being able to buy food where it is grown, cuts down expenses to a very small amount comparatively. When I told them this, one of them acknowledged that he could see that they would have less expense, but that they would still have need of money. ‘You bind us to take all we earn in scrip or shares for our labor?’ one of them asked of me. ‘Certainly,’ I said, ‘that is the protection of the society.’ But I told them they could buy money with their scrip. ”

“ The expense may be reduced to a hundred francs, but economy in pleasure is not to my taste. ”

“ It must be considered that any uncommon expense, as the loss of a horse or the like, may occasion an extra draft over and above the allowance. I like very much your methodical arrangement as to expenses; it is rather a tiresome thing at first to keep an accompt of pounds, shillings, and pence, but it is highly necessary, and enables one to see how the money actually goes. ”

“ Were two men of equal fortune to spend their revenue, the one chiefly in the one way, the other in the other, the magnificence of the person whose expense had been chiefly in durable commodities, would be continually increasing, every day’s expense contributing something to support and heighten the effect of that of the following day ”

“ Expense, and great expense, may be an essential part in true economy. ”

“ "Remember, that time is money. He that can earn ten shillings a day by his labour, and goes abroad, or sits idle, one half of that day, though he spends but sixpence during his diversion or idleness, ought not to reckon that the only expense; he has really spent, or rather thrown away, five shillings besides.
"Remember, that credit is money. If a man lets his money lie in my hands after it is due, he gives me the interest, or so much as I can make of it during that time. This amounts to a considerable sum where a man has good and large credit, and makes good use of it.
"Remember, that money is of the prolific, generating nature. ”

“ I would ask, by way of finishing the picture which our friend from Carolina so happily commenced, and in order to settle the question of reckless expenditure, on which you all seem to exhaust your eloquence, how many of those that belong to our fashionable society can afford its expenses without impairing their estates?—how many of them would be able to continue them without the assistance of credit?—and how many of them, if their estates were to be settled to-morrow, would be able to pay fifty cents in a dollar? ”

“ The manufacturer who shall have enriched himself, at your expense, will, I allow, have also paid wages to his workmen, who had nothing of themselves, but he will, every year, have sunk, and put by a sum that will, at length, have produced to him thirty thousand livres a year. This fortune then he will have acquired at your expense. Nor can you ever sell him the produce of your land dear enough to reimburse you for what he will have got by you ”

“ If an expense is capital, it cannot be deducted as 'ordinary and necessary,' either as a business expense under § 162 of the Code or as an expense of 'management, conservation, or maintenance' under § 212. ”

“ It is very vital that a clear line of demarcation be maintained between capital and revenue expenditures—that great care be exercised that no cost is charged into the asset group of accounts unless such cost really enhances the worth of an asset. A cost incurred for the purpose of maintaining the value of the asset is an expense charge, and repairs and maintenance charges must be very carefully distinguished from replacements. ”

“ No moving of 'the household gods,' however small, or for however short a distance, can be managed without considerable cost and [Pg 142] trouble, and the expense invariably exceeds the estimate made, for unforeseen outlays and difficulties crop up that entail added expenditure with its consequent anxiety. ”

“ The cost of advertising, the cost of colonization, and canvassing by agents engaged 281in building up the business tributary to the corporation, the cost of developing an efficient business organization and an efficient plant—every possible item of developing the business finds accurate record in the development expense deduced from the accounting records as outlined. ”

“ One is struck with her plain and practical, yet comprehensive and exalted view of the question, where so many would have looked only at the immediate and tangible advantage. "There are many things to be weighed before so great a step is taken. Expense is of course a great item, but not the greatest. ”

“ This chart subdivides commercial expense into executive, accounting, office, sales, and credits and collections, showing totals for each and for the entire commercial branch. Manufacturing expense is subdivided into executive, accounting, purchasing, engineering, and shops and equipment. ”

“ An additional cost to individuals is in the extra risk of carrying such wealth, as shown in express charges and special insurance, and still greater expense for safe keeping, and a considerable use of time in counting. ”

“ Many articles of expense are regular and fixed: these may be valued exactly; and, by consulting with experienced persons, you may calculate nearly the amount of others: any material article of consumption, in a family of any given number and circumstances, may be estimated pretty nearly. ”

“ We spend our incomes for paint and paper, for a hundred trifles, I know not what, and not for the things of a man. Our expense is almost all for conformity. It is for cake that we run in debt; ’tis not the intellect, not the heart, not beauty, not worship, that costs so much. Why needs any man be rich? Why must he have horses,{236} fine garments, handsome apartments, access to public houses and places of amusement? Only for want of thought. ”

“ Arbitrary control and issues of currency affect the production of wealth, by acting on the hopes and fears of men, and are, under certain circumstances, wise. But the issue of additional currency to meet the exigencies of immediate expense, is merely one of the disguised forms of borrowing or taxing. ”

“ The gross revenue of all the inhabitants of a great country comprehends the whole annual produce of their land and labour; the neat revenue, what remains free to them, after deducting the expense of maintaining first, their fixed, and, secondly, their circulating capital, or what, without encroaching upon their capital, they can place in their stock reserved for immediate consumption, or spend upon their subsistence, conveniencies, and amusements. Their real wealth, too, is in proportion, not to their gross, but to their neat revenue. ”

“ Even you, Monsieur Gagnon, could look into the future on those terms. When the expenses exceed the income, what takes place? One pays out all one's ready money, one borrows, sells a cow, a horse, a piece of land. ”

“ In determining the net profits, interest on all capital invested is calculated as an expense at the rate of six per cent., and a reasonable salary is allowed to each member of the firm who gives his entire time to the business. ”

“ Under Appropriations, enter all disbursements voted by the Exchange Council for Athletics, Dividends, Sick in Hospital, etc. Under Fixtures should go all expenditures for permanent equipment (new) of the Exchange, and under Maintenance, all money spent for repairs, replacing of old equipment by new, and the like. In the Expense Column we carry such items as wastage, breakage, telephone and telegraph bills, fuel, light, insurance, printing and stationery, and such expendable supplies as twine, paper, etc., as are used in carrying on the business. ”

“ It is worthy of notice, that the general expense will be reduced, if every thing be kept in its proper place, applied to its proper use, and mended, when the nature of an accident will allow, as soon as broken. ”

“ Fixing the price of the goods is important. Make it high enough to cover all expenses and give you a fair return for your labor. The expenses will be the fruit, sugar, fuel, jars, glasses, boxes, packing material, wear and tear of utensils, etc., transportation, and commission. The commission will probably be 20 per cent of the selling price. It may be that a merchant will find that your prices are too high or too low for his trade, or he may wish to purchase the goods outright. ”

“ Moreover, the settled prices prevailing throughout the country allow of assured calculations and precautions as to business ventures, and permit such a ratio to be established between expenses and income, that at the end of the fiscal year a profit, not a loss, may be counted upon. ”

“ Plain unfinished goods which are marketed in large quantities are charged for at a relatively low figure, while fancy goods, sold in smaller quantities and requiring more effort and expense to sell them, are charged for at a higher figure. ”

“ As the young men had not capital sufficient to follow the same line of mercantile business in which he had been engaged, they were obliged to look out for a new plan of maintenance, and a great reduction of expense was the first thing requisite. ”

“ Allowing that their labour paid but one half the expense of supporting them, after reserving a portion of their earnings for themselves, the sum of forty thousand pounds additional would defray all other charges for even a greater number than six thousand. ”

“ Accrued Expenses represent usually the accumulating but unpaid claims against the business for service rendered it, as distinguished from the Accounts Payable, which usually represent purchases of an asset of one kind or another. Thus the amounts due at a given time to employees for work done since the last date of payment of their wages, salaries, or commissions, to the landowner for the rent of leased premises, to lenders for interest on moneys borrowed, are items properly to be listed under this title. ”

“ These expenses usually comprise such costs as state incorporation fees, attorney’s fees for drawing up the application and other papers, the cost of prospectuses, soliciting costs for stock subscriptions, fees paid promoters and organizers, cost of printing and issuing certificates of stock, cost of capital stock records, and similar items. These are necessary and unavoidable expenses without which the company cannot come into being. A company organized and ready to commence business is in a better position than one whose elements have not been brought into harmonious working. ”

“ Take care that you know definitely what sum you can afford to spend on your household expenses, and make it a point of conscience never to exceed it. Market with ready money, if possible; but, if it is more convenient to pay by the month, or quarter, never make that an excuse for letting your bills mount up to double what you can afford to pay. With accounts, carefully kept, it is quite possible to regulate the expenditure to the income. ”

“ Lands, for the purposes of pleasure and magnificence, parks, gardens, public walks, etc. possessions which are everywhere considered as causes of expense, not as sources of revenue, seem to be the only lands which, in a great and civilized monarchy, ought to belong to the crown. ”