In general, "line costs" represent fees WorldCom paid to third party telecommunication network providers for the right to access the third parties' networks. Under GAAP, these fees must be expensed and may not be capitalized.
How much does a phone line cost?
How Much Does a Phone Line Cost? Local calling plan: $15-$30/month Local and long distance plans: $45-$75/month Business lines: $25-$60/month for one line
What are below-the-line costs?
These are below-the-line costs. For service businesses, above-the-line costs are any costs incurred before arriving at operating income. Expenses incurred thereafter, such as interest and taxes are considered below the line. A different interpretation of above the line can refer to all income or expenses related to normal business operations.
What is line item budget (definition)?
Line Item Budget (Definition, Example) | How it Works? Line Item Budget is the presentation of expenses in column format, wherein such expenses are grouped according to their category like Advertisement, Canteen Supplies, Transportation reimbursement, etc., and provide the time series comparison of year-wise performance.
What is an estimated line of cost behavior?
Home » Accounting Dictionary » What is an Estimated Line of Cost Behavior? Definition: The estimated line of cost behavior is line drawn on a scatter diagram to show the relationship between cost and sales or units produced.
What is a cost line in business?
Definition: The “line” generally refers to gross profit. Above that line on the income statement, typically, are sales and COGS (cost of goods sold) or COS (cost of sales or cost of services). Below the line are operating expenses, interest, and taxes.
What are below the line costs?
After gross profit on the income statement is operating expenses, as well as other expenses such as interest and taxes. These are below-the-line costs.
What does below the line mean in budget?
The below the line definition is income or expense in accounting which have no noticeable effect on company profits in the current period; however, it is an unofficial term. This term is used by people in-the-know who deal with above and below the line items and account for expenses regularly.
What are below the line items?
Below the Line refers to items in a profit and loss statement that are income or expense items that are not normally incurred in a company's day-to-day operations. It includes exceptional and extraordinary items that relate to another accounting period or do not apply to the current accounting period.
What is a line item in accounting?
Line item accounting is an accounting practice that segments each category of income and expenses into separate areas, or lines, on a balance sheet. Each line item represents a distinct type of revenue, expense, asset, liability or equity that may affect the account's value.
What does ebitda include?
Earnings before interest, taxes, depreciation, and amortization (EBITDA) is a widely used measure of core corporate profitability. EBITDA is calculated by adding interest, tax, depreciation, and amortization expenses to net income.
What is above the line vs below the line?
Below the Line – “Above the Line” refer to the income and expenses that a company incurs due to normal operations. It is also the gross margin that a business earns. Whereas below the line is operating expenses, interest, and taxes.
Is depreciation above the line?
As stated earlier, in most cases, depreciation and amortization are treated as separate line items on the income statement. Depreciation is typically used with fixed assets or tangible assets, such as property, plant, and equipment (PP&E).
What is a below the line calculation?
Below-the-line costs are an important part of calculating net profit. Companies subtract the total of their below-the-line costs from their gross profit to determine their net profit. Both of these deductions are necessary to determine an accurate calculation for profit margins.
What is the meaning below the line?
(also below the line); (abbreviation BTL) us. MARKETING. relating to advertising, such as trade shows and direct mail, which communicate more directly with customers and are less expensive than television and newspaper advertising: below-the-line marketing.
Is depreciation an operating expense?
The periodic, schedule conversion of a fixed asset into expense as an asset is called depreciation and is used during normal business operations. Since the asset is part of normal business operations, depreciation is considered an operating expense.
What are one off items?
One-offs. One-off items that are not expected to recur and which therefore do not constitute part of a trend. Examples might be acquisition integration costs, profits on disposal of businesses or non-current assets.
What transactions are classified as below the line transaction?
What is Below the Line? Below the line refers to line items in the income statement that do not directly impact a firm's reported profits. A firm may classify certain expenditures as being capital expenditures, thereby pushing them below the line by shifting them from the income statement to the balance sheet.
What is a below the line calculation?
Below-the-line costs are an important part of calculating net profit. Companies subtract the total of their below-the-line costs from their gross profit to determine their net profit. Both of these deductions are necessary to determine an accurate calculation for profit margins.
What is the difference between above the line and below the line in film?
In film budgets, the people responsible for creative development are considered above the line, while the day-to-day filmmaking crew members are below the line.
What is below the line item in bop?
Accommodating Items or 'below the line items' are those which originate to 'accommodate' the BOP scenario. If there is BOP surplus or deficit then accommodating transactions are carried out in a deliberate manner to balance out the surplus/ deficit BOP.
How much does a cordless phone cost?
Phone lines require customers to purchase phones for various locations in the house or business. Cordless phones are popular for both uses and cost $10-$300, depending on the features. Discounts: In some states, such as California, low-income households can receive discounts on a basic home phone line.
How much does Frontier Communications charge for a nursing home?
Nevertheless, there are hidden charges of $22.54 for recovery surcharges, state, and federal taxes. The monthly charge comes out to $60.77.
What is a bundle phone service?
Bundling phone service with other services such as Internet or cable television provides discounts. For example, Charter Communications [ 6] discounts business lines packaged with Internet service. Comcast [ 7] offers discounted deals for customers who combine multiple services as well, with packages for voice, Internet and TV channels starting at $100.
What is line item budget?
Line Item Budget is a columnar representation of expenses. Several categories of expenses are represented column-wise, and each category can be compared with the previous year in a single row.
What is the purpose of line item?
The primary purpose of Line Item is to help managers to control their expenses. The comparison between the past and present expense figures always acts as a sign of warning for the mangers. If, in any month, the expense crosses as compared to the previous month, then the manager becomes alert and controls the expense to match the overall yearly budget as compared with the year earlier.
Why is salary expense over budget?
It could be that the salary payable has increased due to the appointment of new employees, which has increased revenue, but as there is no place to show the change in revenue, so salary expense increase is treated as over budget.
What is accounting system?
Accounting Systems Accounting systems are used by organizations to record financial information such as income, expenses, and other accounting activities. They serve as a key tool for monitoring and tracking the company's performance and ensuring the smooth operation of the firm. read more.
Can a manager change the line budget?
The line budget is fixed at the beginning of the year. So if due to circumstantial changes, the manager feels that the budget that is prepared is not a correct reflection of the estimated expenses, then also the manager can’t change the budget. It requires permission from higher authorities to make changes in the Line Item Budget.
What Does Estimated Line of Cost Behavior Mean?
All of these expenses will be present even if zero goods are produced. The estimated line of cost behavior starts on the y intercept at the point where fixed costs start. This shows that total costs equal the variable costs plus the fixed costs.
How to calculate slope?
The slope formula can be calculated by dividing the change in cost by the change in sale or units. The denominator can change depending on what your scatter diagram is measuring. After you have calculated the slope, you can put on dot on the y intercept where the fixed costs line crosses and the other dot on the slope coordinate you calculated. ...
How far away is a leased line?
A leased line involves creating a direct fibre optic connection between your business and the nearest ‘Point of Presence’, this is usually an exchange or carrier datacentre, which can be up to 35km away. The longer that connection, the greater the cost.
Is leased line provision always applicable?
There’s one other thing to throw into the mix. It’s not always applicable, but it’s worth bearing in mind. And it’s this: sometimes there can be exceptional leased line provision out there, worth investigating simply because it’s transformational.
Is a leased line reliable?
Ultimately the service you receive from your supplier is crucial. Whilst leased lines are incredibly reliable, it’s essential to ensure there is a business grade SLA (Service Level Agreement) in place, with precise commitments on fix times.
Do you pay to shop around for leased lines?
The upshot is that when it comes to leased line costs, it really does pay to shop around—especially if your business is located a little off the beaten track: cities and busy business parks are better served than more rural locations.
Why is it easier for 911 to locate you on a landline?
Accuracy in emergencies: It's easier for 911 to locate you on a landline because they get a precise address, even if you can't talk.
How to save money on cell phone service?
The best way to save money on your mobile phone service is by going with a low-cost provider called an MVNO - or Mobile Virtual Network Operator. These smaller cell phone providers run on the same networks as the big four wireless companies. The only difference is that they charge less than the big guys.
Is home phone service cheaper than cell phone service?
Plus, home phone service is cheaper than ever. Landlines are secure and provide great call quality. They also come in handy in case of a problem with your cell phone. Most TV and internet providers give you the option to bundle home phone service for just a few more bucks a month.
Is a landline phone a standalone service?
Landlines typically come as an optional add-on with TV and internet packages. There are few providers that offer a phone line as a standalone. You'll just need to do a little research to find out which ones serve your area.
How much does it cost to repair a sewer line?
The average cost to repair a main sewer line is $3,818 with most homeowners spending between $2,250 and $5,750. A full sewer line replacement ranges from $8,000 to $30,000, or $50 to $200 per linear foot, depending on the length and width of sewer pipe needed.
How much does ABS sewer line cost?
The preferred pipes for drain lines in a home are ABS pipes made from rubber-based resins, which range in price from $1.87 to $5.35 per foot for 10’ sections.
How much does trenchless piping cost in Orangeburg?
A professional will be able to determine if trenchless lining is best for fixing Orangeburg pipes. Trenchless piping costs $75 to $250 per linear foot and will line the old pipes, so they don’t need to be dug up.
How much does it cost to replace a sewer line under a slab?
The cost to replace a sewer line under a slab costs $3,000 to $5,000 for smaller jobs and $15,000 to $20,000 total for larger jobs. Trenching under a slab can cost an extra $150 to $200 per foot.
Does insurance cover tree roots in sewer lines?
Tree roots in a sewer line are occasionally covered by insurance. You are only covered for this if you have exceptional insurance that covers everything or you have a rider that includes sewer backup.
Do you need to dig up a trenchless sewer line?
Trenchless sewer repairs are a way to avoid major landscaping disruption, but it does require some excavation. Pipes don’t need to be dug up if they are still structurally stable . Small, vertical holes are made along the pipe line where leaks have been identified, and the repairs are made through the holes.
When will my free line credit be applied?
In most cases, you’ll see your free line credit on your first bill. If the credit is not applied on the first bill, two credits will appear on the second bill.
How long does a free voice line last?
The free line must be activated or ordered during the promotional period. All paid voice lines on the account must remain active for 12 months to continue receiving bill credits.
Do all free lines need to be voice lines?
Yes, all free lines must be voice lines. Other line types are not eligible for this promotion.