Alabama Building Operating Cost Addendum

State:
Multi-State
Control #:
US-OL19034BB
Format:
Word; 
PDF
Instant download

Description

This office lease form is a supplement regarding the building operating expenses which are escalated to the tenant. This form lists items to be excluded from the calculation of building operating costs.

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FAQ

What are the operating costs in the construction industry? Operating costs are costs incurred during the operation of an organization. These costs can be either fixed or variable. Some examples include rent, wages, utilities, administration expenses, maintenance, and repairs, to name a few.

Operational costs for construction companies are expenses incurred to keep the business running, whether there are active projects to work on or not. Construction operational costs include the following: Building or office rent or lease costs. Utilities.

Owning costs = purchase price of machine + financing + taxes ? disposal price (what you get for that machine when you resell it). Operating costs = labor + fuel + maintenance + replacement costs of tires, tracks and other components + overhead.

Operating costs are the ongoing expenses incurred from the normal day-to-day of running a business. Operating costs include both costs of goods sold (COGS) and other operating expenses?often called selling, general, and administrative (SG&A) expenses.

Operating expenses include rent, equipment, inventory costs, marketing, payroll, insurance, step costs, and funds allocated for research and development. By contrast, a non-operating expense is an expense incurred by a business that is unrelated to the business's core operations.

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Alabama Building Operating Cost Addendum