CAS-13: Cost of Service Cost Centre

• What a service cost centre is, and what its cost includes (§§4.13, 5)
• Sharing service cost fairly (§6)
• Normal capacity and stand-by services (§5.7)
• Services supplied to other units and outsiders (§§5.2.5–5.2.7)

Chapters

1. Who pays for the canteen? · Departments that help, but never make a uniform (§§4.13, 5.1, 5.2.2, 5.3, 5.4, 5.10)
2. Sharing the canteen fairly · Share each service by how much each department uses it (§§6.1–6.3, 7, 8)
3. The idle van and tea for the neighbours · A half-used service, and a service sold to others (§§5.2.5–5.2.7, 5.7)
4. Spot the mistakes in the canteen account · Use everything from this lesson (§§5.4, 5.9, 5.10, 6.3)

Key terms

• Service cost centre (§§4.13, 5.1, 5.2.2, 5.3, 5.4, 5.10): A department that gives support services to the rest of the business, like a canteen, store or van. Each one is costed separately: its materials, people, utilities and overheads, less money recovered. Interest and pretend costs stay out.
• Sharing service cost (§§6.1–6.3, 7, 8): Put the service cost straight on whoever used it where you can. Otherwise share it on a fair measure of use, applied the same way each time. Show each important service as its own line and say how it was shared.