operating costs

Definition

The day-to-day expenses incurred in running a business, such as sales and administration, as opposed to production. also called operating expenses.

Use operating costs in a sentence

You need to know what all of the operating costs of a project will be so that you do not go over budget.

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The operating costs were decreasing as we had made the final payment on the machinery and we were recognizing an economy of scale.

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The operating costs for the restaurant have increased this month because of the price increase for tomatoes due to the poor season they had over the Summer.

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