factor cost
factor cost
English Definitions:
Factor cost
Factor cost has the following uses in economics: ⁕Factor cost or national income by type of income is a measure of national income or output based on the cost of factors of production, instead of market prices. This allows the effect of any subsidy or indirect tax to be removed from the final measure. ⁕Factor cost can also refer to the unit cost of a particular factor of production, such as the wage rate or the rental rate of capital. ⁕Factor Cost or Factor Income are the incomes received by the owners of the production for rendering their factor services to the producers. Corresponding to the real flow of factor services from the households to the producers, there is a money flow from the producers to the households in the form of rent,interest,profit and wages. As a consequences of these flows, there is a production of goods and services in the economy.
Factor cost
Factor cost or national income by type of income is a measure of national income or output based on the cost of factors of production, instead of market prices. This allows the effect of any subsidy or indirect tax to be removed from the final measure.The concept of factor cost is focusing on the cost incurred on the factor of production. It can be defined as the actual cost incurred on goods and services produced by industries and firms is known as factor costs. Factor costs include all the costs of the factors of production to produce a given product in an economy. It includes the costs of land, labor, capital and raw material, transportation etc. They are used to produce a given quantity of output in an economy. The factor cost does not include the profits made by the producing firms or industries or the tax which they incur on producing those goods and services. We can simply categorize it as the cost of producing a product from unfinished good to a semi finished good or a finished good up to the desired output level.
Citation
Use the citation below to add this dictionary page to your bibliography:
Style:MLAChicagoAPA
"factor cost." Kamus.net. STANDS4 LLC, 2024. Web. 23 Oct. 2024. <https://www.kamus.net/english/factor+cost>.
Discuss this bahasa indonesia factor cost translation 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