Actual Equipment Cost definition

Actual Equipment Cost for equipment in use means the daily rate for Contractor - owned equipment measured by Ownership Cost and Operating Cost divided by the Useful Life of the equipment, and for equipment on standby means only Ownership Cost divided by the Useful Life of the equipment. For purpose of this definition: (a) Operating Cost means fuel, filters, oil, grease, tire wear, minor repair (belts, filters, hydraulic lines and other minor components) and that specific allocable part of any actually incurred cost of major overhaul (rebuilding or replacing larger components, such as the engine and transmission) that was necessitated solely by the equipment’s use on this Project and (b) Ownership Cost means costs for depreciation (the distribution of the acquisition cost of a piece of equipment over its useful economic life), financing (the interest expense on the amount of money borrowed to purchase the equipment) and the following indirect costs (equipment licenses, property taxes, storage, insurance, inspections, mechanic training, record keeping and highway permits). The following items are excluded from Actual Equipment Cost: replacement cost, escalation contingency reserves, general and administrative expense, and profit. The term “Useful Life” as used herein means the greater of the number of years a prudent and reasonable contractor would keep the equipment in use or the number of years, that the equipment is expected to be in use as established or recognized by the Internal Revenue Service.
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Actual Equipment Cost for equipment in use means the daily rate for Contractor
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Examples of Actual Equipment Cost in a sentence

  • The following items are excluded from Actual Equipment Cost: replacement cost, escalation contingency reserves, general and administrative expense, and profit.

  • It is by way of God’s gracious covenant – first indicated in Genesis 3:15 and finally ratified with Abraham – that God saves sinners by grace through faith in Christ.

  • Contractor Equipment in use shall be paid on the basis of Actual Equipment Cost.

  • Manager is a duly organized and validly existing corporation in the State of Delaware.

  • Contractor Equipment on standby will be paid at 25% of Actual Equipment Cost.

  • Equipment in use rented from any affiliate or subsidiary substantially owned or controlled by Contractor or Subcontractor shall be paid at Actual Equipment Cost.

  • Failure of Contractor or Subcontractor to maintain, keep and/or present cost records required by Section 3.10 or Section3.11 sufficient to accurately establish Actual Equipment Cost shall operate to bar any right or remedy of Contractor for payment of additional compensation for any Contractor Equipment, whether in use or standby.

  • Failure of Contractor or Subcontractor to maintain, keep and/or present cost records required by Section 3.10 or Section 3.11 sufficient to accurately establish Actual Equipment Cost shall operate to bar any right or remedy of Contractor for payment of additional compensation for any Contractor Equipment, whether in use or standby.

Related to Actual Equipment Cost

  • Replacement Cost means the cost to repair or rebuild the improvements owned by Lessor at the time of the occurrence to their condition existing immediately prior thereto, including demolition, debris removal and upgrading required by the operation of applicable building codes, ordinances or laws, and without deduction for depreciation.

  • Direct Cost means a cost not to exceed the cost of labor, material, travel and other expenditures to the extent the costs are directly incurred to provide the relevant assistance or service. “Direct Cost” to the Acquirer for its use of any of a Respondent’s employees’ labor shall not exceed the average hourly wage rate for such employee;

  • Project Cost means the price payable to Service Provider over the entire period of Agreement (i.e. Rs. <in words>) for the full and proper performance of its contractual obligations.