Space costs
Occupancy costs ( english cost of premises ) are accounting costs by the operational use of buildings and premises caused.
General
Land and buildings are in the business administration of the resources , their use entails costs. Space costs are part of the operating costs that are caused by maintaining the operational business of a company . Space costs have to be expended in order to bring the rooms into an operational state or to keep them in an operational state. Space costs are a type of cost that can be assigned to a cost center , since operating rooms belong to an operating department .
species
The largest share of the room costs is usually the rent , which is classified as a fixed cost , regardless of whether the company building belongs to the company or not. If the building is owned by the company, an imputed rent must be charged, otherwise the third-party rent paid is part of the room costs. There are also additional costs ( insurance premiums , energy and disposal costs , taxes ). If the rooms belong to the company, proportional depreciation and interest on capital are to be offset. Cleaning ( cleaning agents ), maintenance and renovation costs are more variable in character . If there is vacancy , unused rooms will incur vacancy costs in the amount of the room costs .
Accounting
In the profit and loss account , the room costs belong to the "other operating expenses" ( total cost method ) according to Section 275 (2) No. 8 HGB or to the "general administrative costs" ( cost of sales method ) according to Section 275 (3) No. 5 HGB .
meaning
Space costs represent a significant cost factor, especially for system -intensive companies, which is included in the price calculation via the prime costs . Branch companies (such as franchise systems or branch banks ) usually have to locate their branches in third-party buildings and therefore have a high proportion of space costs. Disproportionate room costs are incurred if, when choosing the company location, the focus is on areas that are as representative as possible and with a high number of pedestrians .