Definition of cost-plus in English:



  • Relating to or denoting a method of pricing a service or product in which a fixed profit factor is added to the costs.

    • ‘The government would fund the railways on a cost-plus basis for four years while the company got to grips with its costs and management structure.’
    • ‘Like most of the contracts awarded, it is structured on a cost-plus basis, meaning the more the company incurs in costs the more profit it makes.’
    • ‘The popularity of single-use products, however, mushroomed dramatically when their use was skewed by a reimbursement system that permitted all single-use items to be charged to the patient on a cost-plus basis.’
    • ‘By limiting the number of projects for which it will compete, it will work only on a cost-plus basis where its risk is limited to its fee.’
    • ‘Selling solutions creates opportunities for value-based rather than cost-plus pricing.’
    • ‘The purchase of that financially strapped firm would expand their foothold in environmental cleanups and in long-term government cost-plus services.’
    • ‘In present-day Russian practice, cost-plus prices are rarely used, with the exception of the least effective ones, based on a fixed profitability rate.’
    • ‘It's a no-cap, cost-plus contract, with no estimate of its total worth given.’
    • ‘The establishment of open-ended contracts on a cost-plus basis guaranteed that corporations would aggressively search out new workers and train them.’
    • ‘In the lecture he also examined the notions of cost and cost accounting in relation to the pricing of cost-plus contracts during the second World War.’
    • ‘The contract was found to be a cost-plus contract with a $65,000 ‘estimate’ and a fixed contractor's fee of $5,000.’
    • ‘The price range between the lower cost-plus price and the higher value-based price signifies the additional profits available to a manufacturer that charges a value-based price for its product.’
    • ‘Most of these contracts are awarded on a cost-plus basis, meaning the company charges the cost of their services plus a fixed profit margin - generally 3 percent or higher.’
    • ‘Whether you have a cost-plus contract or a fixed price, whether your customer is in-house or external, the analysis we have performed provides an accurate view of progress for both cost and schedule.’
    • ‘The British and American governments gave serious attention to cost determination, pricing and the use of cost-plus pricing to guarantee the required production quantities.’
    • ‘The no-bid contracts with the company are organized on a cost-plus basis, guaranteeing it a set profit over and above whatever it spends.’
    • ‘Prior to 1996, the majority of Californians bought power from investor owned utilities operating under standard cost-plus regulations.’
    • ‘This results in a cost-plus contract with a guaranteed maximum price, he explains.’
    • ‘Of course it always covered its costs, but it did not set its costs on a cost-plus system.’
    • ‘In 1940, Congress authorized cost-plus contracts and advance payments.’