Financial Times - Lexiconhttp://lexicon.ft.comTerm of the Day from the Financial Times Lexiconen(PICS-1.1 "http://www.classify.org/safesurf/" L gen true for "http://www.ft.com/" r (SS~~000 1))&copy The Financial Times Ltd 2019 'FT' and 'Financial Times' are trademarks of The Financial Times Ltd. See http://www.ft.com/servicestools/help/terms#legal1 for the terms and conditions of reuse.client.support@ft.comTue, 16 Jun 2009 01:42:55 +0100Mon, 18 Feb 2019 05:44:12 GMTNewspapers15http://lexicon.ft.comhttp://lexicon.ft.comFinancial Timeshttp://im.media.ft.com/m/img/rss/RSS_Default_Image.gifhttp://lexicon.ft.comavoidable costhttp://lexicon.ft.com/Term?term=avoidable costThat part of the cost of any output that could be saved by not producing it. Some costs are clearly not avoidable, for example capital costs, therefore, avoidable costs are often variable costs. For example, it is the cost that can be saved by dropping a particular product line or salaries paid to employees in a particular department. All costs are avoidable, except ‘sunk costs’ and costs that will continue regardless of the decision. Tue, 22 Sep 2009 16:30:24 +0100That part of the cost of any output that could be saved by not producing it. Some costs are clearly not avoidable, for example capital costs, therefore, avoidable costs are often variable costs. For example, it is the cost that can be saved by dropping a particular product line or salaries paid to employees in a particular department. All costs are avoidable, except ‘sunk costs’ and costs that will continue regardless of the decision. [ref url=""]Mark Alan Robinson, Deputy Statistical Editor, Investors Chronicle, Financial Times[/ref]