Total Cost of Ownership

Total Cost of Ownership (TCO) is a financial concept that represents the complete cost of acquiring and using a product or service over its entire lifecycle. This includes not only the initial purchase price but also ongoing expenses such as maintenance, operation, training, and disposal. Understanding TCO helps individuals and organizations make informed decisions by considering all costs involved, rather than focusing solely on the upfront price, allowing for a more accurate assessment of the true value and affordability of an investment.