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cost centre |
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| In applying this full cost guideline, Caspian calculates its ceiling test for each cost centre by comparing the carrying value of oil and natural gas properties and production equipment to the sum of undiscounted cash flows expected to result from Caspian's proved reserves. In addition Equant is perceived to be consistently exceeding expectations in two service attributes - Billing at Cost Centre and Support in Local Language - over the past 6 reports. Many companies tend to think of IT as being something that they have to spend money on to keep pace with their competitors, and can even resent the fact - the result being that IT is looked on as being a cost centre, something that has to be maintained, instead of a resource that could improve the company's ability to compete in the market place. |
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