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What are operating Costs?
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Answer / guest
The day-to-day expenses incurred in running a business,
such as sales and administration, as opposed to production.
also called operating expenses.
| Is This Answer Correct ? | 23 Yes | 6 No |
Answer / suliaman
Operating costs are the day to day cost of organizing to
a business’ operations. It can also refer to the costs of
operating a particular method or branch of a corporation.
Operating costs usually fall into two groups, called fixed
costs and variable costs. A business may have more of one
type of operating cost than the other
| Is This Answer Correct ? | 1 Yes | 0 No |
Answer / lansanacoker
operating cost is the total cost involve in production
including salaries.
| Is This Answer Correct ? | 4 Yes | 4 No |
Answer / ravi
operating cost is nothing but the cost which is incurred
for operation here operation includes getting the
particular process done by using availible resources
generally aprocess meet different stages of production
formulae -o.p cost /sales *100
| Is This Answer Correct ? | 5 Yes | 6 No |
Answer / suresh
total daily expenditure of company. means day to day expenses.
sales, administration and production. these expenses are
called operating cost
| Is This Answer Correct ? | 3 Yes | 8 No |
Answer / maheswari.m
The day to day expenditure incurred in running a
Businesssuch as sales and administrationas opposed to
production .It is aiso called as operating
expenses.
The expenses of maintaing property .
| Is This Answer Correct ? | 3 Yes | 11 No |
Answer / vinotha.v
The day-to-day expenses incurred in running a business.
That is operating cost.
The operating cost calculated raw materials
| Is This Answer Correct ? | 2 Yes | 10 No |
Expand CASA
From the following information you are to prepare a Cash Budget for the period from July to December 2008. (i) The estimated sales and expenses are as follows: June July Aug. Sep. Oct. Nov. Dec. Sales 35,000 40,000 40,000 50,000 50,000 60,000 65,000 Purchases 14,000 16,000 17,000 20,000 20,000 25,000 28,000 Wages & Salaries 12,000 14,000 14,000 18,000 18,000 20,000 22,000 Expenses 5,000 6,000 6,000 6,000 7,000 7,000 7,000 Interest Received 2,000 - - 2,000 - - 2,000 Sale of Fixed Assets - - 20,000 - - - - (ii) Sales are 20% in cash and balance on credit. 50% of the debtors are collected in the month of sales and the remaining in the next month. (iii) The time lag in payment of purchases and expenses is 1 month. However, wages and salaries are paid fortnightly with a time lag of 15 days. (iv) The company maintains a minimum cash balance of Rs. 5,000. The cash balance in excess of Rs. 7,000 is invested in government securities in multiples of Rs. 1,000. Short falls in cash balance are made good by borrowing from banks. The interest received as well as paid is to be ignored.
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