Difference between Expense and Expenditure
Difference between expense and expenditure can be
explained as below;
Expense
Expense is the amount
spent for carry out operation and revenue generation activity. The amount spent
for operation known as Operating expense i.e. rent electricity, while amount
spent on items directly related to revenue generation are known as cost of sales
expense i.e. labor cost, martial cost.
Expenditure
Expenditure is simply the
amount spent. The amount spent may or may not be for expense. For example
amount may be spent for acquiring asset or settling liability. Therefore, technically
speaking every expense is expenditure; however, every expenditure is not
expense.
