Service Costing

Service costing or operating costing, is a process service organizations can use to determine all the costs associated with providing their services. Usually, it considers a variety of business factors, like: Equipment costs Labor costs Fees Software costs Data storage costs For some companies, there might be unique service costs to evaluate. By performing these calculations, organizations can determine the correct prices for their services and make other important financial decisions, like budgeting and controlling their fixed and variable costs.