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初期コストInitial cost

Learn in the textbookEconomic Evaluation

DefinitionInitial cost (初期コスト) is money spent only once, at the stage of introducing a system; it is also called upfront cost (イニシャルコスト).

ExplanationBuying hardware and software, developing the system, and the labor for installation and initial setup all fall here. Once the system is in place, the same cost does not come up again.

AnalogyIt is like paying for furniture when you move into a new home. You pay it all at the start, and that expense does not return once you are living there.

Memory hookThe katakana イニシャル is the English word initial, as in the initials of a name, meaning "the very first." Tie it to the money paid that first time.

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