Actual Cost


Also found in: Acronyms, Encyclopedia.

Actual Cost

The cost a company pays or is paid for a good or service. The actual cost may be more or less than the estimated cost. For example, a car shop may estimate that repairs will cost $700, but the actual cost may in fact be $800. One often is not informed of the actual cost until it is incurred.
References in periodicals archive ?
Unlike the actual cost method, a taxpayer can continue using the standard mileage rate even when the vehicle is fully depreciated (for example, see p.
BUILD A DISPENSARY A gift of with a $45,000 match = actual cost of one dispensary $52,500
The PV (Planned Value) curve is defined at the beginning of the project and illustrates the planned distribution of costs in time, whereas the remaining curves attain their shapes with current progress of works (EV - Earned Value curve) and actual costs of project realization (AC - Actual Cost curve).
The company charter from that year gave the town the right to buy the company "on payment of actual cost thereof,'' but also said that stock dividends must equal at least 5 percent per annum.
"It is submitted, however, that the council could not draw conclusions as to the 'actual cost' of care provision in Northumberland from the levels of fees set elsewhere." Ms Mountfield said that, as a result of inflation, the freeze would result in a "very substantial and increasing reduction in real terms" in the fees for council-funded residents.
It is important to bear in mind that the actual costs incurred reflect a very simple driver - the number of words of English being translated - and so any figures quoted are based on estimates of orders of magnitude rather than precise predictions.
"If someone offered to sell you a gallon of milk for $10.00 you would likely choose to spend your grocery money on other necessities, knowing the actual cost is closer to $3.50," says Marvin Feldman, president and CEO of the LIFE foundation.
Tort reform wouldn't do anything to rein in health care spending, since the actual cost of defending malpractice suits and paying injured victims is less than 0.3% of all health care spending, according to a report from the Center for Progressive Reform, an advocacy group that opposes restrictions on malpractice suits.
The actual cost is typically much lower, although still significant, according to hospital reports filed with the state.
The actual cost per hour for a full-time RN is on average 176 percent of the base hourly wage, says KPMG, which conducted the survey for the National Association of Travel Healthcare Organizations.
previously said it believed the actual cost to the retailer was no more than 20p for a debit card transaction or a percentage of a credit card transaction, thought to be no more than 2%.
The share rate, between zero and one, sets the fraction of the difference between target cost and actual cost incurred by the contractor which is absorbed by the contractor (via decreases or increases in profit), with the balance being absorbed by the buying organization.