The total cost of ownership (TCO) is the total cost of buying and using an asset over its useful life.
For example, a business comparing a $60,000 truck purchase versus a 5-year lease calculates the total cost of ownership for the purchase — including acquisition price, fuel, maintenance, insurance, and estimated resale value — finding that leasing may cost more annually but the purchase results in lower TCO when the residual asset value is factored in.
.avif)
.svg){kind=small}