5-3. Cost Estimating

Work Element Costing

Determine resource requirements and then costs for each task

  1. fixed costs (e.g., materials)
  2. labor time
  3. labor rate
  4. equipment time
  5. equipment rate
  6. overhead

Project costs can also be classified as

  1. Fixed vs. Variable
  2. Direct v. Indirect
  3. Recurring V. Non-recurring
  4. Normal v. Expedited