3.1.7. Other costs

The costs that have been presented previously are directly attributable to the business of the company. But, just like with gains, there is a broader range of losses that the company may have:

  • Inventory shrinkage, when the company realizes that it has less items in stock than in the inventory list: it occurs due to clerical error or goods being damaged, lost, or stolen.
  • Impairment of assets.
  • Losses in assets valued at fair value.
  • Taxes.
  • Discounts.
  • Others.

As in the other gains, most of these costs do not result from the company’s operation.

Next Section: 3.1.8. EBITDA