An item that would be classified as preliminary expenses in a company's account is

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An item that would be classified as preliminary expenses in a company's account is formation expenses. Preliminary expenses are costs incurred by a company during its formation or incorporation. These expenses are usually one-time expenses that are necessary for the company's establishment and may include legal and registration fees, costs related to obtaining a business license, and expenses related to the issuance of shares or raising of capital. Formation expenses are a type of preliminary expense that is specifically related to the company's formation. These expenses may include legal fees for drafting the company's articles of incorporation, registration fees paid to government agencies, and fees paid to professional advisors such as accountants and auditors. Administrative expenses, distribution expenses, and general expenses are all ongoing expenses that a company incurs after its formation, and are not considered preliminary expenses. Administrative expenses include costs related to the day-to-day operations of the company, such as salaries and rent. Distribution expenses include costs related to the marketing and distribution of the company's products or services, while general expenses include all other miscellaneous expenses incurred by the company. In summary, formation expenses are the costs incurred by a company during its formation and are classified as preliminary expenses in the company's accounts.