Which of the following is NOT a principal element of owning costs?

Operating costs are indeed a principal element of owning costs. Owning costs generally encompass long-term costs associated with an asset, which include depreciation, insurance, and interest on the investment. Each of these elements represent a fixed cost that is incurred over the lifetime of the asset, representing the financial obligations that an owner must manage to maintain ownership and operational readiness.

Operating costs, however, are categorized differently as they pertain to the day-to-day expenses associated with running the asset rather than the costs of ownership itself. These costs include utilities, maintenance, labor, and other expenses that fluctuate based on usage and operational conditions. Therefore, while operating costs are significant in overall cost considerations, they fall outside the definition of principal elements of owning costs, which focus on the fixed financial implications directly tied to possession of an asset.