Price:
Price is the amount paid by the buyer to the seller in order to exchange for the purchase the goods and services. Consumer demands the price. It is the value of the product.
Cost:
Cost is the total amount incurred during the production process of goods and services. There are two types of cost: fixed cost and variable cost. All the expenditure incurred is costs.
Differences:
| Basis | Price | Cost |
|---|---|---|
| Definition (www.oxforddictionaries.com) | The amount of money expected, required, or given in payment for something | (Of an object or action) require the payment of (a specified sum of money) before it can be acquired or done |
| Synonyms | Bill, figure, pay, rate and worth | Amount, outlay, price tag and value |
| Antonyms | Punishment and penalty | Retribution and repayment |
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| Types | Its types are: fixed cost, variable cost, semi-variable cost, total cost, average cost and marginal cost etc. | |
| Word origin | The word price is originated in the 13th century; from the Middle English pris, from Anglo-French, from Latin pretium price, money; probably akin to Sanskrit prati-against, in return | The word cost was originated in 1200-50 (13th century). |
| Advantages/Benefits | Its advantages are:
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| Disadvantages | Its disadvantages are:
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