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Taxes

Overhead expenses

Let's discuss the concept of overhead costs in finance. These are the expenses that a business incurs, not related to the production of goods or services. It's important to differentiate between direct and indirect costs in order to accurately assess the financial health of a company. In tax matters, overhead costs may also refer to expenses incurred by the head office for the benefit of its branches or subsidiaries. Understanding overhead costs is crucial for effective financial management.
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