Transformation Cost definition
Transformation Cost means the cost incurred in manufacturing a Product other than Component Costs as specified in a Product Information Document. Transformation Costs shall include, but not be limited to, labor costs, logistics costs, profit and other overhead costs.
Examples of Transformation Cost in a sentence
The method for calculating the Price will be in accordance with the Cost Methodology identified in the Virtual System House Agreement and set out in Exhibit 13.2. The Price for each Product will be calculated monthly, or as otherwise stated in the VSHA, taking into account changes in Material Cost for NC Material, and appropriate adjustment to the Transformation Cost.
Flextronics will provide Nortel with detailed Material Cost and Transformation Cost data (including historical) for the legacy System Houses.