Which of the following is NOT typically considered an expense for a PPO agency?

Prepare for the California Private Security Services Act Test. Study with flashcards and multiple choice questions, each question offers hints and explanations. Get ready for your exam!

The correct answer is based on the nature of the activities associated with a Private Patrol Operator (PPO) agency. Performing security audits is generally considered an operational service rather than an expense that is typical for running day-to-day operations. Security audits are conducted to evaluate the effectiveness of security measures and may be required for compliance purposes or to enhance security protocols.

In contrast, advertising, insurance, and utilities are common expenses incurred in the regular functioning of a business. Advertising is essential for marketing services and attracting clients, insurance is vital for protecting the agency and its employees against liability, and utilities, such as electricity and water, are necessary for maintaining operational facilities. Therefore, security audits stand apart as a specialized function rather than a standard, ongoing expense like the others listed.

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