Total cost of acquisition (TCA) is a
managerial accounting concept that includes all the costs associated with buying goods, services, or assets.
Generally, it is the net price plus other costs needed to purchase the item and get it to the point of use. These other costs can include: the item's purchasing costs (
closing, research, accounting, commissions, legal fees), transportation, preparation and installation costs.
[ Paquette, Larry, (2004). The Sourcing Solution. AMAMOC, New York, 109-115 ]
Typically they do not include training, system integration costs that might be considered operational costs.
See also
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Total cost
In economics, total cost (TC) is the minimum dollar cost of producing some quantity of output. This is the total economic cost of production and is made up of variable cost, which varies according to the quantity of a good produced and includes ...
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Total cost of ownership
Total cost of ownership (TCO) is a financial estimate intended to help buyers and owners determine the direct and indirect costs of a product or service. It is a management accounting concept that can be used in full cost accounting or even ecolog ...
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Procurement
Procurement is the method of discovering and agreeing to terms and purchasing goods, services, or other works from an external source, often with the use of a tendering or competitive bidding process. When a government agency buys goods or s ...
*{{section link, Purchase, Acquisition process
References
External links
Business DictionaryThe Sourcing Solution, (Google books)
Management accounting
Costs