The direct cost of a commodity in terms of the materials and labor involved in its production, excluding fixed costs.
Oraciones de ejemplo
- In a document called ‘Report for 1943 Renegotiation ’, Sperry called it company ‘policy’ to lower the prices of its products when manufacturing experience, reflected by reduced prime costs, was gained.
- According to Wright, the development of scientific costing systems in Britain can be traced back to the work of John Walker, who developed a system of allocating overheads based on prime costs.
- Clear criteria will be introduced for charging VAT for goods and services that are sold below their prime cost.
For editors and proofreaders
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