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For more information on cost, visit Britannica.com.

noun

1. An amount paid or to be paid for a purchase: charge, price. Informal tab. See transactions.
2. Something expended to obtain a benefit or desired result: disbursement, expenditure, expense, outlay. See transactions.
3. A loss sustained in the accomplishment of or as the result of something: expense, price, sacrifice, toll. See transactions.

verb

To require a specified price: go for, sell for. See transactions.

Definition: penalty, sacrifice
Antonyms: repayment, retribution

Fees and charges required by law to be paid to the courts or theirofficers, the amount of which is specified by court rule or statute. A monetary allowance, granted by the court to a prevailing party and recoverable from the unsuccessful party, for expenses incurred in instituting or defending an action or a separate proceeding within an action.

A bill of costs is a certified, itemized statement of the amount of the expenses incurred in bringing or defending a lawsuit.

A cost bond, or bond for costs, is a promise to pay litigation expenses; it is provided by a party to an action as a guarantee of payment of any costs awarded against him or her. A cost bond also might be required of an appealing party in a civil case, in order to cover the appellee's expenses if the judgment is affirmed.

Final costs are paid at the conclusion of an action, the liability for which depends upon its final outcome.

Interlocutory costs accrue during the intermediate stages of a proceeding, as distinguished from final costs.

Security for costs refers to an assurance of payment that a defendant may demand of a plaintiff who does not reside within the jurisdiction of the court, for the payment of such costs as might be awarded to the defendant.

Statutory costs are amounts specified by law to be awarded for various phases of litigation.

The award of costs is not a penalty but is a method used to reimburse an innocent party for the expenses of litigation. Costs include the payment of court fees for the commencement of the litigation; the submission of pleadings or other documents; or the service of process or other papers by a public officer. The appointment by a court of a referee to hear extremely technical testimony, or a receiver to retain and preserve the defendant's funds or property during litigation, is included in costs. Costs entail expenditures made in interviewing parties or witnesses prior to trial and the fees that are properly paid to witnesses who testify. Printing expenses for maps or necessary documents are also included.

Costs do not include the compensation of an attorney. Expenditures in terms of the adversary nature of the proceedings, however, are included. Only when specifically authorized by law may attorney's fees be awarded in addition to costs.

Prevailing Party

A party must request the court to award costs. The court generally defers its decision until judgment is rendered, then determines whether the prevailing party is entitled to costs. The successful party is not required to prevail on every issue or to obtain the entire amount of damages sought. Costs are also awarded to a party prevailing on appeal, even though the case was lost in the trial court.

Under the Federal Rules of Civil Procedure, after which most states have patterned their own procedural rules, "costs shall be allowed as of course to the prevailing party unless the court otherwise directs." Since state laws vary on this subject, however, the applicable state law must be consulted to determine the exact rules.

Costs cannot be assessed against a party merely because of tenacity in pursuing the claim. In Delta Air Lines, Inc. v. August, 450 U.S. 346, 101 S. Ct. 1146, 67 L. Ed. 2d 287 (1981), the justices held that plaintiffs who lose their lawsuits in federal court after rejecting a settlement offer (a proposal to avoid litigation by compromising a disputed claim that does not admit liability) are not required to pay the defendant's costs and attorney fees.

Parties may determine the imposition of costs pursuant to an agreement. The court will enforce a contractual provision or a stipulation provided neither is unconscionable or the result of fraud.

When cases involve multiple parties — more than one plaintiff or more than one defendant — a court may allocate costs among the losing parties.

If one party is a stakeholder — a person who is or might be exposed to multiple liability from adverse claims — the stakeholder's costs are generally obtained from all the other parties to an interpleader action or from the stake: funds or property deposited by two persons with a third person, the stakeholder, for delivery to the person entitled to it upon the occurrence of a particular event.

Amount

In some instances, the amount of costs is specified by law, which restricts a party who is awarded costs to the figure permitted by law for each component of the total costs.

Security

A court may order a party to post a bond to guarantee that costs will be paid if he or she is unsuccessful. Three other alternatives provide sufficient security: a signed statement by the party that he or she will pay determined costs; the deposit of sufficient funds with the court; or the promise of a person who accepts the obligation to pay in full if the party who would normally be responsible fails to do so.

Denial of Costs

A court may deny costs, although they are ordinarily awarded to the prevailing party. Misconduct, such as the concealment of a party's actual financial circumstances, when relevant to the action, justifies the denial of costs. A court that incurs additional, unnecessary expenses as a result of inadequate preparation of the case by the counsel of the prevailing party is entitled to reject a request for costs. In such an instance, the court has the discretion to order the attorney to pay a client's costs, particularly where his or her actions were grossly negligent.

Criminal Proceedings

Costs in criminal proceedings are those expenses specified by law that have been necessarily incurred in a criminal prosecution. The concept of costs was unknown at common law. The allowance of costs, therefore, is based on the applicable statutory provisions.

Quotes:

"What you get free costs too much." - Jean Anouilh

"The gods sell to us all the goods which they give us." - Epicharmus

"Expenditures rise to meet income." - C. Northcote Parkinson

"The gods sell all things at a fair price." - Proverb

"Something you don't want is dear at any price." - Proverb

"A thing is worth what it can do for you, not what you choose to pay for it." - John Ruskin

See more famous quotes about Cost

• Commerce and Trade - cost: amount paid for goods or services, esp. wholesale price paid by retailers
• Accounting - cost: amount of money paid for goods or services

This article is about the economic concept. For the scientific organization, see COST. For uses of "The Cost", see The Cost (disambiguation).

"Expenditure" redirects here. For personal consumption expenditure, see Consumption (economics).

In production, research, retail, and accounting, a cost is the value of money that has been used up to produce something, and hence is not available for use anymore. In business, the cost may be one of acquisition, in which case the amount of money expended to acquire it is counted as cost. In this case, money is the input that is gone in order to acquire the thing. This acquisition cost may be the sum of the cost of production as incurred by the original producer, and further costs of transaction as incurred by the acquirer over and above the price paid to the producer. Usually, the price also includes a mark-up for profit over the cost of production.

More generalized in the field of economics, cost is a metric that is totaling up as a result of a process or as a differential for the result of a decision.^[1] Hence cost is the metric used in the standard modeling paradigm applied to economic processes.

Costs (pl.) are often further described based on their timing or their applicability.

Contents 1 Accounting vs opportunity costs 2 Comparing private, external, social, and psychic costs 3 Cost estimates and cost overrun 4 Path cost 5 Manufacturing Costs VS. Non-manufacturing costs 6 Biological cost 7 See also 8 References 9 Further reading

Accounting vs opportunity costs

In accounting, costs are the monetary value of expenditures for supplies, services, labor, products, equipment and other items purchased for use by a business or other accounting entity. It is the amount denoted on invoices as the price and recorded in bookkeeping records as an expense or asset cost basis.

Opportunity cost, also referred to as economic cost is the value of the best alternative that was not chosen in order to pursue the current endeavor—i.e., what could have been accomplished with the resources expended in the undertaking. It represents opportunities forgone.

In theoretical economics, cost used without qualification often means opportunity cost.^{[citation needed]}

Comparing private, external, social, and psychic costs

When a transaction takes place, it typically involves both private costs and external costs.

Private costs are the costs that the buyer of a good or service pays the seller. This can also be described as the costs internal to the firm's production function.

External costs (also called externalities), in contrast, are the costs that people other than the buyer are forced to pay as a result of the transaction. The bearers of such costs can be either particular individuals or society at large. Note that external costs are often both non-monetary and problematic to quantify for comparison with monetary values. They include things like pollution, things that society will likely have to pay for in some way or at some time in the future, but that are not included in transaction prices.

Social costs are the sum of private costs and external costs.

For example, the manufacturing cost of a car (i.e., the costs of buying inputs, land tax rates for the car plant, overhead costs of running the plant and labor costs) reflects the private cost for the manufacturer (in some ways, normal profit can also be seen as a cost of production; see, e.g., Ison and Wall, 2007, p. 181). The polluted waters or polluted air also created as part of the process of producing the car is an external cost borne by those who are affected by the pollution or who value unpolluted air or water. Because the manufacturer does not pay for this external cost (the cost of emitting undesirable waste into the commons), and does not include this cost in the price of the car (a Kaldor-Hicks compensation), they are said to be external to the market pricing mechanism. The air pollution from driving the car is also an externality produced by the car user in the process of using his good. The driver does not compensate for the environmental damage caused by using the car.

A psychic cost is a subset of social costs that specifically represent the costs of added stress or losses to quality of life.

Cost estimates and cost overrun

Main article: Cost overrun

When developing a business plan for a new or existing company, product, or project, planners typically make cost estimates in order to assess whether revenues/benefits will cover costs (see cost-benefit analysis). This is done in both business and government. Costs are often underestimated resulting in cost overrun during implementation. Main causes of cost underestimation and overrun are optimism bias and strategic misrepresentation (Flyvbjerg et al. 2002). Reference class forecasting was developed to curb optimism bias and strategic misrepresentation and arrive at more accurate cost estimates.^[2]

Cost Plus, is where the Price = Cost plus or minus X%, where x is the percentage of built in overhead or profit margin.

Path cost

Also seen as a term in networking to define the worthiness of a path, see Routing.

Manufacturing Costs VS. Non-manufacturing costs

Manufacturing Costs are those costs that are directly involved in manufacturing of products. Examples of manufacturing costs include raw materials costs and charges related workers. Manufacturing cost is divided into three broad categories:

1. Direct materials cost.
2. Direct labor cost.
3. Manufacturing overhead cost.

Non-manufacturing Costs are those costs that are not directly incurred to manufacture a product. Examples of such costs are salary of sales personnel and advertising expenses. Generally non-manufacturing costs are further classified into two categories:

1. Selling and distribution Costs.
2. Administrative Costs.

Biological cost

In biology, the biological cost or metabolic price is a measure of the increased energy metabolism that is required to achieve a function. Drug resistance in microbiology, for instance, has a very high metabolic price,^[3] especially for antibiotic resistance ^[4]

See also

average cost accounting costs Cost accounting cost-benefit analysis Cost curve Cost overrun Expense Externality fixed costs

historical cost incremental costs life cycle costs list of economics topics list of accounting topics marginal cost opportunity costs parametric estimating price

private costs production, costs, and pricing psychic costs repugnancy costs semi variable costs social costs sunk costs total cost transaction costs variable costs

References

1. ^ Sullivan, arthur; Steven M. Sheffrin (2003). Economics: Principles in action. Upper Saddle River, New Jersey 07458: Pearson Prentice Hall. pp. 16. ISBN 0-13-063085-3. http://www.pearsonschool.com/index.cfm?locator=PSZ3R9&PMDbSiteId=2781&PMDbSolutionId=6724&PMDbCategoryId=&PMDbProgramId=12881&level=4. 
2. ^ Flyvbjerg, B., 2008, "Curbing Optimism Bias and Strategic Misrepresentation in Planning: Reference Class Forecasting in Practice." European Planning Studies, vol. 16, no. 1, January, pp. 3-21.
3. ^ The biological cost of antimicrobial resistance Stephen H. Gillespie*, and Timothy D. McHugh
4. ^ Wichelhaus TA, Böddinghaus B, Besier S, Schäfer V, Brade V, Ludwig A (2002). "Biological cost of rifampin resistance from the perspective of Staphylococcus aureus". Antimicrob. Agents Chemother. 46 (11): 3381–5. doi:10.1128/AAC.46.11.3381-3385.2002. PMC 128759. PMID 12384339. http://www.pubmedcentral.nih.gov/articlerender.fcgi?tool=pmcentrez&artid=128759. 

Further reading

• William Baumol (1968), Entrepreneurship in Economic Theory. American Economic Review, Papers and Proceedings.
• Bent Flyvbjerg, Mette K. Skamris Holm, and Søren L. Buhl (2002), "Underestimating Costs in Public Works Projects: Error or Lie?" Journal of the American Planning Association, vol. 68, no. 3, 279-295.
• Stephen Ison and Stuart Wall (2007), Economics, 4th Edition, Harlow, England; New York: FT Prentice Hall.
• Israel Kirzner (1979), Perception, Opportunity and Profit, Chicago: University of Chicago Press.

Wikimedia Commons has media related to: Costs

Look up cost or time-consuming in Wiktionary, the free dictionary.

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Dansk (Danish)
v. intr. - koste dyrt
v. tr. - koste, prisberegne, komme dyrt at stå
n. - pris, udgift, tab, omkostning

idioms:

• at all costs    for enhver pris
• at any cost    for enhver pris
• cost a bomb    koste det hvide ud af øjnene
• cost a bundle    koste en masse
• cost accounting    omkostningsberegning
• cost of living    leveomkostninger
• cost out    prisberegne
• cost price    fremstillingspris
• cost-push inflation    inflation pga. stigende omkostninger
• to cost an arm and a leg    koste det hvide ud af øjnene
• to one's cost    af bitter erfaring

Nederlands (Dutch)
prijs, verlies, (mv) kosten, kosten, begroten, kostbaar zijn

Français (French)
v. intr. - coûter, chiffrer
v. tr. - coûter, chiffrer
n. - coût, frais, prix, (fig) prix, (Jur) frais de l'instance (npl), (Comm, Fin) frais (npl)

idioms:

• at all costs    à tout prix
• at any cost    à n'importe quel prix, coûte que coûte
• at cost    au prix coûtant
• cost a bomb    coûter les yeux de la tête
• cost a bundle    coûter un tas (d'argent)
• cost accounting    comptabilité de prix de revient
• cost an arm and a leg    coûter les yeux de la tête
• cost of living    (Écon) coût de la vie
• cost out    coût de revient, calculer le coût de revient, évaluer le coût de (projet)
• cost price    (Comm) prix de revient, prix coûtant
• to one's cost    à ses dépens

Deutsch (German)
v. - kosten, Preis veranschlagen
n. - Kosten, Preis

idioms:

• at all costs    um jeden Preis
• at any cost    um jeden Preis
• at cost    zum Selbstkostenpreis [verkaufen]
• cost a bomb    ein Vermögen kosten
• cost a bundle    (ugs.) ein Vermögen kosten
• cost accounting    betriebliches Rechnungswesen
• cost an arm and a leg    (ugs.) eine Stange Geld kosten
• cost of living    Lebenshaltungskosten
• cost out    Kosten eines Produktes im voraus kalkulieren
• cost price    Selbstkostenpreis
• to one's cost    zu jmnds. Nachteil

Ελληνική (Greek)
v. - κοστίζω, στοιχίζω, (οικον.) κοστολογώ
n. - κόστος, τίμημα, αντίτιμο, (μτφ.) θυσία, (βαρύ) αντάλλαγμα ή τίμημα, (πληθ.) (νομ.) δικαστικές δαπάνες

idioms:

• at all costs    με κάθε θυσία
• at any cost    με οποιοδήποτε κόστος, ανεξάρτητα από τη δαπάνη ή τη θυσία
• cost a bomb    στοιχίζω μια περιουσία
• cost a bundle    στοιχίζω ένα σκασμό λεφτά
• cost accounting    (οικον.) κοστολόγηση
• cost of living    (οικον.) κόστος διαβίωσης/ζωής
• cost out    κοστολογώ
• cost price    (οικον.) τιμή αγοράς/κτήσης
• cost push    (για πληθωρισμό) κόστους
• to cost an arm and a leg    στοιχίζω ένα σκασμό λεφτά
• to one's cost    προς ζημίαν μου

Italiano (Italian)
costare, calcolare, costo

idioms:

• at all costs    a tutti i costi
• at any cost    ad ogni costo
• cost accounting    ragioneria
• cost of living    carovita
• cost out    preventivare
• cost price    prezzo di costo
• cost push    fattori di aumento
• to someone's cost    alle spese di

Português (Portuguese)
v. - custar, avaliar
n. - custo (m), despesa (f)

idioms:

• at all costs    custe o que custar
• at any cost    custe o que custar
• cost accounting    sistema (m) de computação de custos
• cost of living    custo (m) de vida
• cost out    calcular gastos futuros
• cost price    preço (m) de custo
• cost push    pressão (m) nos custos
• count the cost    considerar os riscos
• to one's cost    às custas de alguém

Русский (Russian)
стоить, оценивать, стоимость

idioms:

• at all costs    любой ценой
• at any cost    любой ценой
• cost accounting    расчет себестоимости
• cost of living    прожиточный минимум
• cost out    подсчитывать стоимость
• cost price    себестоимость
• cost push    инфляция
• count the cost    взвешивать возможные последствия
• to one's cost    в ущерб себе

Español (Spanish)
v. intr. - valerse, estimarse, sumarse, presupuestarse
v. tr. - costar, valer, presupuestar, estimar, ascender a, sumar
n. - costo, gastos, coste

idioms:

• at all costs    cueste lo que cueste, a toda costa
• at any cost    a cualquier precio
• at cost    al costo
• cost a bomb    costar un ojo de la cara
• cost a bundle    cuesta mucho dinero
• cost accounting    contabilidad analítica de costos
• cost an arm and a leg    costar un ojo de la cara, costar caro
• cost of living    carestía o coste de vida
• cost out    presupuestar
• cost price    precio de coste/costo
• to one's cost    a las expensas de uno, al costo de uno mismo, correr con los gastos, hacerse cargo de los gastos

Svenska (Swedish)
v. - kosta, kostnadsberäkna
n. - kostnader, bekostnad, omkostnader

中文（简体）(Chinese (Simplified))
花费, 价值为, 使失去, 代价, 费用, 价值

idioms:

• at all costs    不惜任何代价, 无论如何
• at any cost    无论如何, 不惜代价
• cost a bomb    非常贵
• cost a bundle    非常昂贵
• cost accounting    成本会计
• cost of living    生活费
• cost out    询价
• cost price    成本价, 原价
• cost-push inflation    成本提高型通货膨胀
• to cost an arm and a leg    非常昂贵
• to one's cost    付出代价

中文（繁體）(Chinese (Traditional))
v. intr. - 花費
v. tr. - 價值為, 使失去, 花費
n. - 代價, 費用, 價值

idioms:

• at all costs    不惜任何代價, 無論如何
• at any cost    無論如何, 不惜代價
• cost a bomb    非常貴
• cost a bundle    非常昂貴
• cost accounting    成本會計
• cost of living    生活費
• cost out    詢價
• cost price    成本價, 原價
• cost-push inflation    成本提高型通貨膨脹
• to cost an arm and a leg    非常昂貴
• to one's cost    付出代價

한국어 (Korean)
v. intr. - 원가 계산을 하다
v. tr. - 금액이 들다, 희생을 치르게 하다, 원가를 계산하다, 비싸게 치다
n. - 값, 희생, 지출

idioms:

• at all costs    어떤 희생을 치르더라도
• at any cost    어떤 희생을 치르더라도
• cost out    제품의 원가를 계산하다
• to cost an arm and a leg    엄청난 대가를 지불하다
• to one's cost    자신의 부담으로, 피해를 입고

日本語 (Japanese)
n. - 代価, 値段, 費用, 原価, 犠牲, 訴訟費用, 損害
v. - がかかる, 要する, 犠牲にさせる, 原価計算をする, 費やさせる, 失わせる

idioms:

• at all costs    万難を排して
• at any cost    万難を排して
• cost a bomb    大金がかかる
• cost a bundle    大金を費やす
• cost accounting    原価計算
• cost of living    生計費
• cost out    経費見積もりをする
• cost price    原価
• cost push    コストインフレ(経済)
• cost the earth    途方もなく金がかかる
• to cost an arm and a leg    高くつく
• to one's cost    損をして

العربيه (Arabic)
‏(فعل) كلف, تكلف, سعر, ثمن, قرر سعره (الاسم) كلفه, ثمن, قيمه‏

עברית (Hebrew)
v. intr. - ‮עלה, עלה ביוקר (מדוברת)‬
v. tr. - ‮קבע מחיר המוצר‬
n. - ‮מחיר, עלות, יציאות‬

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