production costs

Factory spending totals

Production costs are the expenses incurred in making a good or delivering a service.

These include raw materials, labor, equipment, and overhead like utilities and rent.

In film and media, production costs cover everything from salaries to set construction to post-production: The production costs for the blockbuster exceeded $200 million.

Businesses track production costs to determine pricing and profitability.

Opposites
cost vs. revenue

production costsrevenue

Business income total

sales revenue · income · gross revenue · earnings · proceeds

production vs. consumption/sale

production costsretail price

Consumer purchase amount

selling price · sale price · market price · asking price · list price

fixed vs. variable expenses

production costsfixed costs

Expenses unchanged by output

overhead · sunk costs · administrative costs · operating expenses

Family

costs, production

Familiarity
Top 100,000
Profile
Used worldwide · Timeless · Everyday, not technical · Rated G