costing


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Related to costing: marginal costing, cost accounting, product costing, process costing

costing

the process of ascertaining the cost of a PRODUCT, COMPONENT or SERVICE. With historical costing, costs are ascertained after they have been incurred, though most businesses seek to gauge future costs through STANDARD COSTING.

Product costing seeks to determine the cost of each job or batch of products in order to assess the cost per unit. Contract costing is used to determine the construction costs of a large-scale building or civil engineering contract. Process costing is used where liquid or gaseous materials such as oil pass through several refining/heating processes to produce products such as petrol and by-products such as tar, and seeks to determine the costs of products by dividing output volume by materials and processing costs.

References in periodicals archive ?
While the principles of reliable, activity-based costing are universally applicable, costing system implementation must satisfy the unique characteristics and managerial needs of the foundry industry.
And it is worth trying because the "profit-and-loss" approach, as I call it, to evaluating patient care is superior to using RUG groups for costing services.
CVA calculates part volume and area to aid costing and quoting.
Although the hospital was successful in costing the services provided to individual patients and groups of patients, it was difficult to use this information for utilization management without comparative data from other hospitals, or without clinical profiles of ideal resource utilization and costs.
BusinessObjects Activity Based Costing for Healthcare delivers a sustainable framework for collecting and reporting timely, accurate, and reliable costing data.
To ferret out these hidden environmental costs, consider using activity-based costing, which traces overhead and period expenses to products, customer groups and, in some instances, to individual customers.
Conventional costing, by contrast, allocates overhead costs using direct labor content as the primary yardstick--though it also takes other departmental expenses into account.
This introduces a new aspect of overhead costing, which has not been customary other than in special libraries.
Many companies, realizing their diverse products are probably cross-subsidizing each other by sharing costs that are unique to an individual product, are investigating or attempting to upgrade their costing systems.
According to HealthLeaders-InterStudy, radiology costs account for 10 cents of every health care dollar and are growing by 18-20% a year, costing health plans and their members billions of dollars that could be avoided.
Obviously, improper costing and pricing can cost you a fortune.
Five years ago, a number of manufacturing companies formed a consortium, Computer Aided Manufacturing-International CAM-1), to develop a new approach to product costing.