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English definition of “conversion cost”

conversion cost

noun [C]
 
 
ACCOUNTING, PRODUCTION the cost of making products from raw materials during a production process: Direct labor is counted as both a prime cost and a conversion cost.
FINANCE the cost of changing from one type of currency, share, etc. to another: You will have to pay a currency conversion cost to convert back to sterling.
(Definition of conversion cost from the Cambridge Business English Dictionary © Cambridge University Press)
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