Step-by-step explanation

One of the methods not discussed above is "Operating/Service costing". In my opinion, the EEC company that is into the supply of electricity should use it

Under this method, the'cost unit' depends upon the service provided. Usually, in service undertakings, a composite cost unit is used. Example-KWH (kilo-watt-hours), meal served.

Hence, thecosting method is used by those companies that provide service as against manufacturing and supply of tangible products. It is a vital method of costing where only the services are rendered. It ascertains the cost of one unit of service rendered. This method is applicable to transport undertakings and electricity supply undertakings. Therefore, EEC can use it.

I like more explanation on this information "Operating/Service costing."