# Basis of Charge

The unit measure the supplier uses to quantify a transaction with customers. This unit of measure could include time, dimension, volume, user or another unit. Each unit of product, as well as each other component of the price, has a basis.

Example 1:

In the past year, drug companies have reined in discounts to HMOs by tying discounts to demands that an HMO's business had to visibly increase a maker's market share or revenues.
(SIC 2834-Year 1997)

Explanation: The Basis of the Charge, which is a discount or credit for the customer, is a result achieved by the customer in increasing the revenues of the supplier. (Basis of Charge: Result Achieved)

Example 2:

Yuengling kept its beer at the original, lower price in its home county. Thus, Yuengling drinkers in Pottsville can get a Yuengling brew at home for 40 cents, compared with \$2.50 at other locations.
(SIC 2082-Year 1993)

Explanation: The Basis of Charge is a unit of volume. (Basis of Charge: Volume)

Example 3:

Carriers in several big markets are cutting cellular phone prices, and even offering them for free. Bell Atlantic-Nynex further cut the price of a cell phone, already a steal at \$40 in early January, to \$5 for new customers who sign up before January 31.
(SIC 4813-Year 1996)

Explanation: The Basis of the Charge for the telephone is a charge that is contingent upon the occurrence of a specific event. The customer is able to purchase a cell phone for only \$5 provided that the customer has signed a contract for cellular services before a certain date. (Basis of Charge: Event Occurrence)

Example 4:

Fleming raised prices high above the manufacturers on a range of products. For example, a case of plastic grocery bags was \$20.67, far higher than the \$14 from the manufacturer.
(SIC 5141-Year-1996)

Explanation: The Basis of Charge for the grocery bags was an amount per package of bags. (Basis of Charge: Package)

Example 5:

North Carolina Wesleyan cut tuition for incoming students 23%. So did the University of Rochester, Pine Manor, Waldorf College, Muskingum College. (SIC 8200-Year1996)

Explanation: The Basis of the Charge is an amount per user, in this case a student. (Basis of Charge: User)