| 10. | Expenses by nature |
Breakdown of expenses by nature for the years ended 31 December 2017, 2016 and 2015 is as follows:
Cost of revenue:
| 2017 | 2016 | 2015 | ||||||||||
|
Depreciation and amortization (*) |
(2,596,980 | ) | (2,203,351 | ) | (1,667,750 | ) | ||||||
|
Treasury share |
(1,669,807 | ) | (1,491,503 | ) | (1,418,683 | ) | ||||||
|
Interconnection and termination expenses |
(1,607,079 | ) | (1,420,233 | ) | (1,326,990 | ) | ||||||
|
Radio expenses |
(1,123,668 | ) | (1,057,618 | ) | (911,454 | ) | ||||||
|
Employee benefit expenses |
(1,046,544 | ) | (859,143 | ) | (734,725 | ) | ||||||
|
Cost of goods sold |
(870,226 | ) | (551,656 | ) | (250,779 | ) | ||||||
|
Cost of revenue from financial services |
(270,366 | ) | (68,546 | ) | — | |||||||
|
Universal service fund |
(221,431 | ) | (192,045 | ) | (182,508 | ) | ||||||
|
Transmission expenses |
(218,221 | ) | (139,185 | ) | (113,574 | ) | ||||||
|
Roaming expenses |
(177,258 | ) | (128,429 | ) | (108,102 | ) | ||||||
|
Billing and archiving expenses |
(55,185 | ) | (61,647 | ) | (55,056 | ) | ||||||
|
Others |
(1,493,409 | ) | (1,063,251 | ) | (999,862 | ) | ||||||
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| (11,350,174 | ) | (9,236,607 | ) | (7,769,483 | ) | |||||||
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| (*) | As at 31 December 2017, depreciation and amortization expenses includes depreciation and amortization expenses related to the financial services amounting to TL 6,343 (31 December 2016: 1.677 TL). |
Selling and marketing expenses:
| 2017 | 2016 | 2015 | ||||||||||
|
Selling expenses |
(898,936 | ) | (757,869 | ) | (783,234 | ) | ||||||
|
Marketing expenses |
(532,989 | ) | (518,382 | ) | (428,596 | ) | ||||||
|
Employee benefit expenses |
(394,421 | ) | (354,380 | ) | (381,582 | ) | ||||||
|
Frequency usage fees related to prepaid subscribers |
(82,994 | ) | (186,530 | ) | (191,408 | ) | ||||||
|
Others |
(96,080 | ) | (93,786 | ) | (117,039 | ) | ||||||
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| (2,005,420 | ) | (1,910,947 | ) | (1,901,859 | ) | |||||||
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Administrative expenses:
| 2017 | 2016 | 2015 | ||||||||||
|
Employee benefit expenses |
(346,151 | ) | (277,438 | ) | (240,305 | ) | ||||||
|
Consultancy expenses |
(50,247 | ) | (54,315 | ) | (43,995 | ) | ||||||
|
Rent expenses |
(36,280 | ) | (30,314 | ) | (23,924 | ) | ||||||
|
Net impairment expense recognized on receivables |
(36,278 | ) | (211,384 | ) | (196,588 | ) | ||||||
|
Travel and entertainment expenses |
(30,957 | ) | (18,913 | ) | (13,484 | ) | ||||||
|
Maintenance and repair expenses |
(24,342 | ) | (20,315 | ) | (23,424 | ) | ||||||
|
Collection expenses |
(20,415 | ) | (20,827 | ) | (17,533 | ) | ||||||
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Other |
(100,526 | ) | (88,343 | ) | (66,026 | ) | ||||||
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| (645,196 | ) | (721,849 | ) | (625,279 | ) | |||||||
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