current cost
B2Formal, Technical
Definition
Meaning
The present expense or price required to acquire, produce, or maintain something.
An accounting or managerial term referring to the cost of an asset or service based on present-day market prices rather than historical cost; the ongoing operational expenditure.
Linguistics
Semantic Notes
"Current cost" is a compound noun phrase with the adjective 'current' specifying the temporal aspect (present, up-to-date) of the noun 'cost.' It is often contrasted with terms like 'historical cost' or 'budgeted cost.'
Dialectal Variation
British vs American Usage
Differences
No significant differences in meaning. Spelling conventions follow national norms (e.g., 'cost' vs. 'costs' as plural usage). In American business contexts, 'current cost' might be more frequently used in formal accounting (FASB standards), while in UK contexts, it aligns with IAS/IFRS terminology.
Connotations
Neutral in both varieties. Conveys precision and up-to-date financial assessment.
Frequency
More frequent in professional, academic, and business contexts than in everyday conversation in both regions.
Vocabulary
Collocations
Grammar
Valency Patterns
The current cost of [NOUN PHRASE] is [AMOUNT].We need to assess the current cost.Compared to the historical figure, the current cost is higher.Vocabulary
Synonyms
Strong
Neutral
Weak
Vocabulary
Antonyms
Phrases
Idioms & Phrases
- “Pay the current cost of living”
Usage
Context Usage
Business
Used in financial reporting, budgeting, and strategic planning to reflect present economic reality. Example: 'The balance sheet is prepared under the current cost convention.'
Academic
Used in economics, finance, and management studies to discuss inflation accounting and resource allocation.
Everyday
Used when discussing present prices, e.g., 'The current cost of a train ticket has gone up.'
Technical
A specific term in accounting (Current Cost Accounting - CCA) where assets are valued at their current market purchase price.
Examples
By Part of Speech
verb
British English
- We must current-cost these assets for the year-end report.
- The system is designed to current-cost the inventory automatically.
American English
- The accountant will current cost the capital equipment.
- Regulations require us to current-cost our holdings.
adverb
British English
- The assets are valued current-cost.
- (Rarely used as an adverb)
American English
- (Rarely used as an adverb)
- (Rarely used as an adverb)
adjective
British English
- The current-cost valuation method is complex.
- We need a current-cost analysis.
American English
- The current-cost data is in the appendix.
- A current-cost adjustment was made.
Examples
By CEFR Level
- The current cost of a coffee is three pounds.
- What is the current cost of a cinema ticket?
- We compared the current cost with last year's price.
- The current cost of fuel affects our travel plans.
- The company's report highlights the current cost of raw materials.
- Investors are concerned about the rising current cost of production.
- The financial statements were restated using current cost accounting to reflect inflationary effects.
- Analysing the current cost of capital is essential for evaluating new investment projects.
Learning
Memory Aids
Mnemonic
Think of an electric CURRENT powering a modern price tag – it represents the 'live' or present COST.
Conceptual Metaphor
VALUING IS MEASURING (with a contemporary ruler).
Watch out
Common Pitfalls
Translation Traps (for Russian speakers)
- Avoid direct translation as 'текущий цена' (incorrect gender agreement). Correct: 'текущая стоимость' or 'действующая цена.'
- Do not confuse with 'себестоимость' (cost price). 'Current cost' is about the present market value, not the internal production cost.
Common Mistakes
- Using 'actual cost' as a direct synonym (actual can mean real, not necessarily current).
- Pluralising 'cost' unnecessarily when used in the general sense (e.g., 'the current costs' vs. 'the current cost').
Practice
Quiz
In accounting, 'current cost' is primarily contrasted with which of the following?
FAQ
Frequently Asked Questions
Very similar, but 'current cost' is often used from the buyer's/payer's perspective within a managerial or accounting framework, while 'market price' is a more general trading term.
Yes, it can refer to the present price of a service, e.g., 'the current cost of software subscription.'
They are often synonymous. However, 'replacement cost' specifically emphasizes the price to replace an identical or equivalent asset, which is a typical application of 'current cost.'
Yes, it is formal and technical in business/accounting contexts. In everyday speech, people are more likely to say 'current price' or 'what it costs now.'