What does carrying cost mean?
Definitions for carrying cost
car·ry·ing cost
This dictionary definitions page includes all the possible meanings, example usage and translations of the word carrying cost.
Princeton's WordNet
carrying cost, carrying chargenoun
the opportunity cost of unproductive assets; the expense incurred by ownership
ChatGPT
carrying cost
Carrying cost, also known as holding cost or inventory carrying cost, refers to the total cost of holding and maintaining inventory or stock over a certain period of time. It typically includes costs related to storage, insurance, depreciation, obsolescence, and capital costs, such as the opportunity cost of money tied up in inventory. The purpose of carrying cost is to help businesses determine the most efficient and cost-effective level of inventory to maintain.
Wikidata
Carrying cost
In marketing, carrying cost refers to the total cost of holding inventory. This includes warehousing costs such as rent, utilities and salaries, financial costs such as opportunity cost, and inventory costs related to perishability, shrinkage and insurance. When there are no transaction costs for shipment, carrying costs are minimized when no excess inventory is held at all, as in a Just In Time production system. Excess inventory can be held for one of three reasons. Cycle stock is held based on the re-order point, and defines the inventory that must be held for production, sale or consumption during the time between re-order and delivery. Safety stock is held to account for variability, either upstream in supplier lead time, or downstream in customer demand. Psychic stock is held by consumer retailers to provide consumers with a perception of plenty.
Matched Categories
Numerology
Chaldean Numerology
The numerical value of carrying cost in Chaldean Numerology is: 8
Pythagorean Numerology
The numerical value of carrying cost in Pythagorean Numerology is: 8
Translations for carrying cost
From our Multilingual Translation Dictionary
- costo de transporteSpanish
- रखाव लागतHindi
- custo de transportePortuguese
- செலவுகளை சுமந்துகொள்வதுTamil
- لے جانے کی قیمتUrdu
Get even more translations for carrying cost »
Translation
Find a translation for the carrying cost definition in other languages:
Select another language:
- - Select -
- 简体中文 (Chinese - Simplified)
- 繁體中文 (Chinese - Traditional)
- Español (Spanish)
- Esperanto (Esperanto)
- 日本語 (Japanese)
- Português (Portuguese)
- Deutsch (German)
- العربية (Arabic)
- Français (French)
- Русский (Russian)
- ಕನ್ನಡ (Kannada)
- 한국어 (Korean)
- עברית (Hebrew)
- Gaeilge (Irish)
- Українська (Ukrainian)
- اردو (Urdu)
- Magyar (Hungarian)
- मानक हिन्दी (Hindi)
- Indonesia (Indonesian)
- Italiano (Italian)
- தமிழ் (Tamil)
- Türkçe (Turkish)
- తెలుగు (Telugu)
- ภาษาไทย (Thai)
- Tiếng Việt (Vietnamese)
- Čeština (Czech)
- Polski (Polish)
- Bahasa Indonesia (Indonesian)
- Românește (Romanian)
- Nederlands (Dutch)
- Ελληνικά (Greek)
- Latinum (Latin)
- Svenska (Swedish)
- Dansk (Danish)
- Suomi (Finnish)
- فارسی (Persian)
- ייִדיש (Yiddish)
- հայերեն (Armenian)
- Norsk (Norwegian)
- English (English)
Word of the Day
Would you like us to send you a FREE new word definition delivered to your inbox daily?
Citation
Use the citation below to add this definition to your bibliography:
Style:MLAChicagoAPA
"carrying cost." Definitions.net. STANDS4 LLC, 2024. Web. 19 Apr. 2024. <https://www.definitions.net/definition/carrying+cost>.
Discuss these carrying cost definitions with the community:
Report Comment
We're doing our best to make sure our content is useful, accurate and safe.
If by any chance you spot an inappropriate comment while navigating through our website please use this form to let us know, and we'll take care of it shortly.
Attachment
You need to be logged in to favorite.
Log In