If that sounds familiar, you are probably also versed on the overhead cost associated with any custom configuration.
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If hardware lasts two years and if, let's say, electricity and other overhead cost as much as the hardware, Amazon would have a gross margin of 45%, better than what it gets on books.
Frank also cites an American Bar Association ethics ruling suggesting law firms should only bill clients their actual cost plus a reasonable allocation of overhead, including the cost of outsourced legal work.
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Thanks mainly to low overhead, tight cost controls and mass production, the company was able to keep Serum's vaccines priced lower than its competitors'.
But while a few well-funded juggernauts, like Flipkart, have succeeded in establishing brands and conquering large parts of the market, none of the major players have shown a profit, and few have even shown enough revenues to cover overhead after the cost of goods and deliveries.
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E-tailers are online-only sellers who avoid the heavy cost-structure and overhead of physical retailers.
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Kailing focuses on total cost, which includes engineering overhead and other expenses.
Instead, they either have nothing or they use an average cost estimate that fully loads in overhead.
So Casey's has kept its markup on all gas to an average 10.5 cents a gallon, scarcely enough to cover the cost of credit card fees and overhead.
The report concluded that such technologies cost about 10 times that of overhead power lines, although another European study says that the rise in costs is about half that.
Most firms do, Paige says, agreeing as a matter of contract, for example, not to pass on the cost of training summer associates or overhead as defined by the client.
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"The overuse of cost-plus contracts, high contractor overhead expenses, excessive contractor award fees, and unacceptable program and project delays all contributed to a significant waste of taxpayers' dollars, " the report said.
It has significantly cut overhead costs and more easily hired employees drawn to the low cost of living in Idaho, he added.
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The other 96.4 percent of that total is the cost of components produced (and the labor and overhead employed to produce those components) in Japan, Germany, South Korea, the United States, and several other countries.
For long-term investors the more important cost is the expense ratio, the annual assessment for overhead and portfolio management.
At a more sophisticated level, a manufacturing job shop I consulted for had a cost estimate per job, but it included lots of overhead allocations.
The second reason for building the open cloud centers around the same motivators that bring enterprises to the cloud in the first place: cost efficiency, range of service delivery options, reduced overhead and better asset utilization.
This also applies to the cost structure of the practice as such advisors prefer to keep low overhead and not experience the pressure of having to cover a larger bill and therefore maintain high overhead.
Eliminating some of the overhead won't reduce the supply or increase the demand for oil, but it will reduce the overall cost of getting it to market.
Banks should not recover other costs of their debit card programs such as the cost of producing and distributing debit cards, general costs of deposit accounts, branch costs, and overhead.
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