incurred costs
61joint costs — In process costing, the costs incurred prior to the separation point after which the joint products are treated individually. The joint costs are therefore common to the joint products; in order to determine individual product costs, the joint… …
62Relevant costs — The cost of the locks, the labour cost of fitting them, and the cost of delivery are differential cash flows that will be incurred if the doors are modified. They are therefore relevant costs. The position can be summarized in table form as… …
63sunk costs — 1) Expenditure, usually on capital items, that once having been incurred can be included in the books of account as an asset, although this value cannot be recovered. An example of this form of expenditure would be creating a railway embankment… …
64sunk costs — 1) Expenditure, usually on capital items, that once having been incurred can be included in the books of account as an asset, although this value cannot be recovered. 2) In management accounting, expenditure that has already been incurred and… …
65Legacy costs — is a term formed by analogy with the computer industry s legacy systems. Legacy costs are those incured by an organization in prior years under different leadership or when the entity s priorities and resources were different. In business, while… …
66Backorder Costs — A cost incurred by a business when it is unable to fill an order and must complete it later. A backorder cost can be discrete, as in the cost to replace a specific piece of inventory, or intangible, such as the effects of poor customer service.… …
67Menu Costs — An economic term used to describe the cost incurred by firms in order to change their prices. How expensive it is to change prices depends on the type of firm. For example, it may be necessary to reprint menus, update price lists or retag… …
68direct costs — the costs incurred, in addition to fixed costs, as a result of manufacturing a product or providing a service. Direct costs are made up of direct material, direct labour and direct manufacturing or servicing costs. Glossary of Business Terms …
69discretionary costs — managed costs Costs incurred as a result of a managerial decision; the extent of these costs is consequently subject to managerial discretion. A characteristic of such costs is that they are often for a specified amount or subject to a specific… …
70discretionary costs — managed costs Costs incurred as a result of a managerial decision; the extent of these costs is consequently subject to managerial discretion. A characteristic of such costs is that they are often for a specified amount or subject to a specific… …
