Total cost of acquisition

Total cost of acquisition (TCA) is a managerial accounting concept that includes all the costs associated with buying goods, services, or assets.[1]

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.[2]

Typically they do not include training, system integration costs that might be considered operational costs.

See also

References
  1. Standard definitions
  2. Paquette, Larry, (2004). The Sourcing Solution. AMAMOC, New York, 109-115
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