Turnkey Cost


DEFINITION of 'Turnkey Cost'

Costs and expenditures that must be covered before a product or service is ready to be sold and used. A turnkey cost may be a direct cost, such as materials, or an indirect cost, such as administrative expenses and product engineering. Turnkey costs are often quoted by manufacturers and real estate developers to describe the costs required to complete a particular project.

BREAKING DOWN 'Turnkey Cost'

The word turnkey refers to an item that is ready for use as soon as it is handed to the consumer. The turnkey cost is the total cost to get the product to this finished and usable point. For example, if you are building a new home, there are many separate costs beyond the building itself. This could include landscaping, furnishing, insurance, taxes, cleaning, inspection, and many more. If you want to know the total cost before you can start living in that home, you would be looking for the turnkey cost.

  1. Invitation For Bid - IFB

    When a company or organization provides detailed project specifications ...
  2. Payback Period

    The length of time required to recover the cost of an investment. ...
  3. Mortgage Company

    A company engaged in the business of originating and/or funding ...
  4. Turnkey Business

    A situation in which a firm's high-level management plans and ...
  5. Supply Management

    A broad term describing the various acts of identifying, acquiring ...
  6. Turnkey Solution

    A type of system that can be easily implemented into current ...
Related Articles
  1. Home & Auto

    7 Things To Consider Before Selling Your Own Home

    A "for sale" sign won't sell your house. Find out what it takes and whether you can do it all yourself.
  2. Home & Auto

    Cut Commissions With "For Sale By Owner" Sales

    It takes a lot more work, but selling your home without a realtor can have benefits.
  3. Home & Auto

    The Truth About Real Estate Prices

    Historical housing price data suggests ongoing increases in housing prices, but these numbers don't tell the whole truth.
  4. Home & Auto

    Selling Your House? Avoid These Mistakes

    Don't put the sale of your home at risk by committing one of these dirty deeds.
  5. Home & Auto

    4 Types Of Home Renovation: Which Ones Boost Value?

    You think your updated house looks great, but potential buyers may not feel the same way.
  6. Investing

    What a Family Tradition Taught Me About Investing

    We share some lessons from friends and family on saving money and planning for retirement.
  7. Professionals

    4 Must Watch Films and Documentaries for Accountants

    Learn how these must-watch movies for accountants teach about the importance of ethics in a world driven by greed and financial power.
  8. Economics

    Long-Term Investing Impact of the Paris Attacks

    We share some insights on how the recent terrorist attacks in Paris could impact the economy and markets going forward.
  9. Active Trading

    An Introduction To Depreciation

    Companies make choices and assumptions in calculating depreciation, and you need to know how these affect the bottom line.
  10. Economics

    5 States with the Highest GDP Per Capita

    Learn about the top five states ranked by their real gross domestic product (GDP) per capita as of 2014: Alaska, North Dakota, New York, Connecticut and Wyoming.
  1. Is Israel a developed country?

    Israel is considered a developed country, although it has substantial poverty and large income gaps. The International Monetary ... Read Full Answer >>
  2. Can working capital be depreciated?

    Working capital as current assets cannot be depreciated the way long-term, fixed assets are. In accounting, depreciation ... Read Full Answer >>
  3. Do working capital funds expire?

    While working capital funds do not expire, the working capital figure does change over time. This is because it is calculated ... Read Full Answer >>
  4. How much working capital does a small business need?

    The amount of working capital a small business needs to run smoothly depends largely on the type of business, its operating ... Read Full Answer >>
  5. What does high working capital say about a company's financial prospects?

    If a company has high working capital, it has more than enough liquid funds to meet its short-term obligations. Working capital, ... Read Full Answer >>
  6. How can working capital affect a company's finances?

    Working capital, or total current assets minus total current liabilities, can affect a company's longer-term investment effectiveness ... Read Full Answer >>

You May Also Like

Hot Definitions
  1. Take A Bath

    A slang term referring to the situation of an investor who has experienced a large loss from an investment or speculative ...
  2. Black Friday

    1. A day of stock market catastrophe. Originally, September 24, 1869, was deemed Black Friday. The crash was sparked by gold ...
  3. Turkey

    Slang for an investment that yields disappointing results or turns out worse than expected. Failed business deals, securities ...
  4. Barefoot Pilgrim

    A slang term for an unsophisticated investor who loses all of his or her wealth by trading equities in the stock market. ...
  5. Quick Ratio

    The quick ratio is an indicator of a company’s short-term liquidity. The quick ratio measures a company’s ability to meet ...
  6. Black Tuesday

    October 29, 1929, when the DJIA fell 12% - one of the largest one-day drops in stock market history. More than 16 million ...
Trading Center