Such as costs of indirect

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  • fixed and variable general production costs incurred in the process of turning raw materials and materials into finished products. Fixed general production costs means indirect production costs, which are often invariable regardless of the volume of manufactured products, such as depreciation cost, maintenance cost of machinery, equipment, workshops… and administrative management cost at production workshops.

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  • The maintenance of road pavements in England has become a costly necessity, due largely to the large volume of commercial vehicles using the roads which cause pavements to deteriorate quickly, and makes their repair more difficult to carry out. These roadworks incur not only direct works costs, but also indirect costs from factors such as congestion, motor accidents and pollution. There is obviously a need for cost-effective maintenance that minimises the occurrence and duration of these disruptions.

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  • Regulated industries such as telecommunications, transportation, and electric power have always had numerous “cross-subsidies” embedded in their rate structures. To promote “universal service” or just to sat- isfy the demands of politically influential consumer groups, state and federal regulatory agencies have set rates for some services at levels below the costs of supplying them and other rates at levels commensurately higher than costs of supply.

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