Which option represents a source of expense in the funeral business?

Salaries represent a direct cost to a funeral business because they are the payments made to employees for their work. In the context of operating a funeral home, salaries are necessary expenditures that contribute significantly to the overall expenses involved in providing funeral services. This cost is essential to ensure that the business has the staffing required for various roles, such as funeral directors, embalming personnel, administrative staff, and support roles.

Other options like non-formula service and formula service typically refer to the services offered based on pricing structures rather than direct expenses. Livery charges, while they do represent a cost, are typically variable and may not encompass the overall labor costs associated with running the funeral business. In contrast, salaries are a fixed and consistent expense that must be managed as part of the financial operations, making them a clear representation of a source of expense in the funeral business.