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No.:
Witness:
Type of Exhibit:
Issues:
Sponsoring Party:
Case No.:Maurice Breaker
Direct Testimony
Cost of Service, Revenue Allocation,
and Rate Design
Missouri Industrial Energy Consumers
ER20100036BEFORE
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How to fill out cost of service revenue
How to fill out cost of service revenue
01
To fill out cost of service revenue, you need to follow these steps:
02
Identify the direct costs associated with providing the service. These costs may include labor, materials, and any other expenses directly attributable to the service.
03
Calculate the total direct costs by summing up all the individual costs associated with the service.
04
Determine the indirect costs that are also related to the service. These costs may include overhead expenses, such as rent, utilities, and administrative costs.
05
Allocate a portion of the indirect costs to the service based on a predetermined allocation method. This can be done by using a cost driver, such as the percentage of labor hours devoted to the service.
06
Combine the direct costs and the allocated indirect costs to get the total cost of service revenue.
07
Record the total cost of service revenue in the appropriate financial statement, such as the income statement.
08
Review and analyze the cost of service revenue to assess profitability and make informed business decisions.
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What is cost of service revenue?
Cost of service revenue is the total cost incurred by a company in providing its services to customers.
Who is required to file cost of service revenue?
Companies that provide services and generate revenue from those services are required to file cost of service revenue.
How to fill out cost of service revenue?
Cost of service revenue is filled out by compiling all costs related to providing services, such as labor, materials, and overhead expenses.
What is the purpose of cost of service revenue?
The purpose of cost of service revenue is to accurately calculate the total cost of providing services in order to determine profitability and make informed business decisions.
What information must be reported on cost of service revenue?
Cost of service revenue must report all costs directly related to providing services, including direct labor, materials, and overhead costs.
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