SG&A Expense

No, SG&A is neither a terrible new disease ravishing East Africa nor a trendy music craze rising from the clubs of L.A. It stands for Sales, General, and Administrative costs.

The "Sales" part you can probably guess. It includes actual sales people, like you might meet at a car lot or in an Arthur Miller play. It also includes things like marketing and advertising expenses. The "General" part of SG&A has nothing to do with rising through the ranks of the armed forces. It means general like "overall," i.e. overhead expenses like rent or utilities. Finally, you've got "Administrative." That's the stuff inside the companies that keep them running. They don't create the products directly, but contribute to the internal working of the company. Like accountants or personal assistants or the masseuse you keep urging your boss to hire for the break room.