### cost:

Medical cost
* are a daily, growing burden on the elderly
  - one of the biggest causes of personal bankruptcy
  - very high in the United States
* have a direct affect on corporations as well as individual families.

Net cost
* are the gross costs minus sales revenue from recycled materials.
* increases over time.
* represents the gross cost of operations less attributable earned revenues.

### cost:

Opportunity cost
* Opportunity Cost is the value of the next best alternative that is given up.
* are a key element in the way economists look at the world.
* are the benefits lost by choosing one alternative over others
  - opposite of tradeoffs
* continue to rise as civilizations evolve.
* defines how the trader manipulates working capital.
* is an economic term for paying too much for something
  - measured by the value of the next best alternative to the buyer
* is the a. cost incurred when one fails to take advantage of an opportunity
  - cost of choosing one alternative over another
  - loss of our next best alternative when a choice is made
  - single most valuable opportunity give up when a choice is made
* is the value of the best alternative given up to engage in an action
  - value of the best alternative given up when making a choice
* term the government uses when it spends too much money
  - used by economists to account for the alternative uses of resources

Overhead cost
* are expenses incurred when running a business.
* is every cost excluding direct material costs and direct labor cost.

Production cost
* is cost
  - primarily a function of the number of wafers processed
* occur when firms spend money to try to adapt the product to the buyers.
* rise so that fewer goods can be produced and sold.

Replacement cost
* are funds that are used to cover salaries and wages for replacement workers.
* is based on actual cost at time of loss
* is the actual cost to replace the structure, regardless of depreciation
  - basis for valuation of property loss
  - cost of replacing a property with one of like utility

### cost:

Total cost
* are equal to total fixed costs plus total variable costs
  - the sum of variable and fixed costs
* divided by the life span, is the real measure of building costs.
* is determined by the sum of the costs over the useful life of the equipment
  - everything including tax
  - just average cost times the number of plants
* is the area under the supply curve
  - number of insertions times the rate
  - sum of the direct and overhead cost of providing a particular service
  - total amount spent to produce every unit, made up of fixed and variable costs
* means the cost of all factors of production.
+ EBay, Statistics: Websites
  * Millions of items are bought on eBay every day. It is often very cheap to list an item on eBay. Total costs are usually below ordinary auction house costs. Many people look at others' items because they are interested in them.

Transaction cost
* are simply the costs associated with buying and selling.
* deal with the expenses associated with contracting out that function.

Unit cost
* are the costs of producing an output or outcome
  - total cost divided by total quantity
* direct outgrowth of the scope of the tasks to be accomplished.
* is computed by simplifying the ratio of cost to unit
  - the total cost divided by the number of units produced

Variable cost
* affects production
  - short run production
* are costs that a company can control, or which it incurs as it makes sales
  - can be allocated to a specific unit of production
  - vary depending on the level of production
  - to external customers
  - expenses that do vary with the amount of service provided or goods produced