Total cost basis is an accounting term used to describe the total expenditure of a company in order to purchase, produce or maintain an asset or item. It includes all costs associated with the acquisition and upkeep of the asset, from initial purchasing fees to maintenance and depreciation. For example, if a company purchases a machine for $50,000, the total cost basis will include the cost of the machine, as well as any additional fees necessary for installation or delivery. This concept can be applied to a range of assets, from physical items like machinery to intangible assets such as patents or trademarks. By understanding the total cost basis of an asset, companies are better able to budget and assess their investments.