Total cost of acquisition
Encyclopedia
The Total Cost of Acquisition (TCA) is a managerial accounting
concept that includes all the costs associated with buying goods, services, or assets.
Generally, it is the net price plus other costs needed to purchase the item and get it to the point of use. These other costs can include: the item's purchasing costs (closing, research, accounting, commissions, legal fees), transportation, preparation and installation costs.
Typically they do not include training, system integration costs that might be considered operational costs.
Management accounting
Management accounting or managerial accounting is concerned with the provisions and use of accounting information to managers within organizations, to provide them with the basis to make informed business decisions that will allow them to be better equipped in their management and control...
concept that includes all the costs associated with buying goods, services, or assets.
Generally, it is the net price plus other costs needed to purchase the item and get it to the point of use. These other costs can include: the item's purchasing costs (closing, research, accounting, commissions, legal fees), transportation, preparation and installation costs.
Typically they do not include training, system integration costs that might be considered operational costs.
See also
- Total costTotal costIn economics, and cost accounting, total cost describes the total economic cost of production and is made up of variable costs, which vary according to the quantity of a good produced and include inputs such as labor and raw materials, plus fixed costs, which are independent of the quantity of a...
- Total cost of ownershipTotal cost of ownershipTotal cost of ownership is a financial estimate whose purpose is to help consumers and enterprise managers determine direct and indirect costs of a product or system...
- ProcurementProcurementProcurement is the acquisition of goods or services. It is favourable that the goods/services are appropriate and that they are procured at the best possible cost to meet the needs of the purchaser in terms of quality and quantity, time, and location...
- Acquisition process in purchasing
- US Government acquisition process