Cambridge Dictionaries online Cambridge Dictionaries online

The most popular online dictionary and thesaurus for learners of English

English definition of “absorption rate”

absorption rate

noun [C]
 
 
( also overhead absorption rate, also recovery rate) ACCOUNTING the percentage of fixed costs (= costs that are the same each month) that a company pays for with the profits from particular products and services: The car dealership covers most of its fixed operating costs with gross profits from service and parts operations, but this 90% absorption rate is unusual in the industry.
( also real-estate absorption rate) PROPERTY the rate at which homes in a particular area are being sold: An absorption rate of 6 indicates a balanced market, while the current figure for the area of 9.2 shows that it is a buyer's market.
(Definition of absorption rate from the Cambridge Business English Dictionary © Cambridge University Press)
What is the pronunciation of absorption rate?
Add Cambridge dictionaries to your browser to your website

More Business English definitions for “absorption rate”

Word of the Day

cold snap

a short period of cold weather

Word of the Day

Cleavage proves divisive in Cambridge’s words of 2014

by Alastair Horne,
December 19, 2014
​​​​ Other dictionaries may choose faddish novelties as their words of the year, but here at Cambridge, we like to do something different. We look for the words that have seen sudden surges in searches over the course of the year – words that have been baffling users of English and driven them

Read More 

cinderella surgery noun

December 15, 2014
cosmetic surgery to the feet We have all heard of people having nose jobs, boob jobs and liposuction – but now a new trend growing in popularity in America: Cinderella surgery.

Read More