non-differential costs
[/nɑːn dɪˈfɛrənʃəl kɔsts/]
nounpl: non-differential costs
custos não-diferenciais
1. Costs that remain the same regardless of which alternative decision is chosen; costs that do not vary between different courses of action in a business decision
When deciding between two production methods, the rent on the factory is a non-differential cost because it must be paid either way.
Ao decidir entre dois métodos de produção, o aluguel da fábrica é um custo não-diferencial porque deve ser pago de qualquer forma.
2. Expenses that are irrelevant to a particular business decision because they will be incurred in the same amount under all alternatives being considered
Non-differential costs should be ignored in cost-benefit analysis since they do not affect the outcome of the decision.
Custos não-diferenciais devem ser ignorados na análise de custo-benefício, pois não afetam o resultado da decisão.
This is primarily an accounting and business management term used in both Brazil and the United States. It is essential in corporate decision-making and financial analysis. The term reflects the importance of distinguishing between costs that matter to a specific decision and those that don't, a fundamental principle in managerial accounting taught in business schools across both countries.
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