CONTENTS

        1.1     General
        1.2     Purpose of determining tariffs
                  1.2.1     Cost tariffs
                  1.2.2     Public tariffs
        1.3     Objectives to be achieved
        1.4     Development of a costing model
        2.1     Introduction
                  2.1.1     The model adopted
                  2.1.2     What is being proposed
        2.2     Description of the model
                  2.2.1     The production process
                  2.2.2     Characterization of the cost centres (Technical aspect)
                  2.2.3     Example of a technical aspect (Local switching, telephone)
                  2.2.4     Characteristics of the profit centres
        2.3     How the model works
                  3.1.1     Cost centres
                  3.1.2     Profit centres
        3.2     Cost centres
                  3.2.1     Subscriber terminal equipment – telex service
                  3.2.2     Subscriber terminal equipment – telephone service
                  3.2.3     Local network
                  3.2.4     Local switching – telephone service
                  3.2.5     Local switching – telex service
                  3.2.6     "Local network" telephone service charges (aggregation level – AL)
                  3.2.7     "Local network" telex service charges (aggregation level – AL)
                  3.2.8     Long-distance switching – telephone service
                  3.2.9     Long-distance switching – telex service
                 3.2.10     Long-distance transmission
        3.3     Profit centres
                  3.3.1     Local telephone service
                  3.3.2     Local telex service
                  3.3.3     Long-distance telephone service
                  3.3.4     Long-distance telex service
                  3.3.5     Local leased line service
                  3.3.6     Long-distance leased line service
        3.4     Allocation of indirect costs
        4.1     Accounting data
        4.2     Physical data
        4.3     Reports
        5.1     National telephone service
                  5.1.1     Basic objective of the national telephone tariff
                  5.1.2     Factors to be considered when establishing tariffs
                  5.1.3     Design of a national telephone tariff
                  5.1.4     Main characteristics of different charging systems
                  5.1.5     Aspects of call metering
                  5.1.6     Time-of-day charging (off-peak tariffs)
                  5.1.7     Subscriber classification (business/residential mix)
        5.2     National telex service
                  5.2.1     Tariff structure
                  5.2.2     Charging systems
                  5.2.3     Charging unit
                  5.2.4     Examples of national charging structures
                  5.2.5     Application of tariffs for different network configurations
                  5.2.6     Special facilities
                  5.2.7     Miscellaneous services/charges
        5.3     Private leased circuit service
                  5.3.1     Definition
                  5.3.2     General principles
                  5.3.3     Tariff structure
                  5.3.4     Initial charges and subscriber rentals
                  5.3.5     Utilization charges
        6.1     Useful life
        6.2     Time-value factor
        6.3     Maintenance and operating costs in relation to investment
        6.4     Sample breakdown of initial investment between basic national telephone services
        6.5     Allowance for the consumption of telecommunication services
Chapter 7 – Conclusions