Designed-in or (locked-in)costs are costs that have not yet been incurred but will be incurred in the future (and cannot be avoided)because they are dictated by the design of the output.

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Designed-in costs refer to costs that are inherently part of the design of a product or process, and cannot be avoided. These costs may include things like the cost of raw materials, the cost of tooling, or the cost of research and development. As such, they are costs that have not yet been incurred but will be incurred in the future.

Designed-In or (Locked-In)costs Are Costs That Have Not Yet Been