Accounting cost
|
Missing image Merge_articles.png | It has been proposed that this article or section be merged with Historical cost.
This request may be discussed on the article's talk page. |
In economics, accounting cost or historical cost is the total amount of money or goods expended in an endeavour. It is money paid out at some time in the past and recorded in journal entries and ledgers. Economists use the term to distinguish opportunity costs from the costs recorded in accounting records. Economists are typically interested in opportunity costs, that is, the cost of an opportunity forgone, rather than accounting costs.