SECTION 1.3  Operating expenses,  inventory and deposit liability 1.3.3  Operating expenses Total operating expenses grew by 1%, im- pacted by BSP1-related costs of approxi- mately DKK 350m. Marketing, sales and distribution expenses  declined by DKK -195m compared to last  year mainly due to last years activation of  EURO 2012. Brand and trade marketing expenses comprise  sales campaigns, sponsorships, advertising and  in-store display expenses. Sales and distribution expenses comprise costs  relating to general sales activities, sales staff as  well as depreciation and impairment of sales  equipment and costs incurred in distributing  goods sold during the year. Administrative expenses comprise expenses  incurred during the year for management and  administration, including expenses for administra- tive staff, office premises and office expenses, and  depreciation and write-downs for bad debt losses. 1.3.3  ACCOUNTING POLICIES 1.3.4  Other operating activities, net Other operating activities are secondary to  the principal activities of the entities, and  include income and expenses relating to  rental properties and hotels, on-trade loans,  research activities, and gains and losses on  the disposal of intangible assets and prop- erty, plant and equipment. DKK million 2013 2012 Gains and losses on  disposal of property,  plant and equipment  and intangible assets  within beverage  activities, net 8 112 On-trade loans, net 1 36 Real estate, net -35 -22 Research centres, net -99 -94 Other, net 142 113 Total 17 145 On-trade loan activities are described in section 1.6.  Marketing expenses consist of expenses for  brand marketing and trade marketing. Brand marketing is an investment in our  brands and consists of brand-specific invest- ments in the development of communication  vehicles and the use of these to drive the sale  of branded products and services. Trade marketing is promotional activities  directed towards customers, such as the sup- ply of point-of-sale materials, promotional  material and trade offers. DKK million 2013 2012 Marketing expenses 5,973 6,276 Sales expenses 5,220 5,277 Distribution expenses 7,524 7,359 Total 18,717 18,912 Carlsberg Group Annual Report 2013 Consolidated financial statements SECTION 1: OPERATING ACTIVITIES 66 1.3.4  ACCOUNTING POLICIES Gains and losses on the disposal of intangible  assets and property, plant and equipment are  determined as the sales price less selling costs  and the carrying amount at the disposal date.  On-trade loans, net comprise the effective  interest rate on on-trade loans calculated on  the basis of amortised cost less impairment of  on-trade loans.  Expenses relating to research activities comprise  research in Denmark and France less funding  received from the Carlsberg Foundation for the  operation of the Carlsberg Laboratory and grants  received to fund research. The funding and grants  are recognised in the income statement in the  same period as the activities to which they relate.  Development costs are included in cost of sales. 