prime cost

American  

noun

1. that part of the cost of a commodity deriving from the labor and materials directly utilized in its manufacture.

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prime cost British  

noun

1. Also called: variable cost.  the portion of the cost of a commodity that varies directly with the amount of it produced, principally comprising materials and labour Compare overheads

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Etymology

Origin of prime cost

First recorded in 1710–20

Example Sentences

See Examples For:

prime cost

Labor is indeed a prime cost factor in an industry that has never been able to mechanize to any great extent.

From Time Magazine Archive

An addition to the price; rise in price or value; as, an advance on the prime cost of goods.

From Webster's Unabridged Dictionary by Webster, Noah

A store was kept on the premises, in which articles were sold at prime cost, with an allowance for transportation, &c.

From History of American Socialisms by Noyes, John Humphrey

It must always be remembered that the railway train, as against the motor, has the advantage that its wholesale traction reduces the prime cost by demanding only one engine for a great number of coaches.

From Anticipations Of the Reaction of Mechanical and Scientific Progress upon Human life and Thought by Wells, H. G. (Herbert George)

The prime cost and repairs are by no means so great when engines are duplicated, or two sets built from the same patterns.

From Ocean Steam Navigation and the Ocean Post by Rainey, Thomas