RECOVER COST Meaning and
Definition
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Recover cost is a financial concept used to describe the act of recuperating or offsetting expenses incurred in the production, purchase, or execution of a particular venture or project. It refers to the process of gaining back the expenses that were initially invested or spent on a business activity, product, or service.
When attempting to recover costs, the goal is to generate revenues or benefits that are equal to or exceed the initial expenditures. This can be achieved through various means, such as selling goods or services at a price higher than the production or acquisition cost, or by reducing expenses without compromising the quality or value of the product.
Recovering costs is essential for businesses or individuals to ensure profitability or financial sustainability. It is a vital aspect of financial management and is closely tied to concepts like breakeven point and return on investment (ROI). By recovering costs, a company can analyze and evaluate the viability and success of a particular endeavor, as well as its potential for future growth.
Effective cost recovery strategies can involve careful financial planning, accurate pricing strategies, controlling operational and production expenses, efficient resource allocation, and effective marketing and sales tactics. Each industry and sector may have specific approaches to recover costs effectively.
Overall, recover cost is the process of recouping the expenses invested in a venture, product, or service, aiming to achieve or maintain financial stability and profitability.
Common Misspellings for RECOVER COST
- eecover cost
- decover cost
- fecover cost
- tecover cost
- 5ecover cost
- 4ecover cost
- rwcover cost
- rscover cost
- rdcover cost
- rrcover cost
- r4cover cost
- r3cover cost
- rexover cost
- revover cost
- refover cost
- redover cost
- reciver cost
- reckver cost
- reclver cost
- recpver cost
Etymology of RECOVER COST
The word "recover" comes from the Old French word "recovrer", which means "to regain or get back". It ultimately originates from the Latin word "recuperare", which has the same meaning.
The word "cost" has an Old English origin, derived from the word "cōst", meaning "purchase price" or "expense".
When combined, the term "recover cost" refers to the action of regaining or getting back the expenses or purchase price of something.
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