Introduction to Management, Practice and Law (Lecture Week #06)

Cost Estimate and Price Breakdown

In order to perform the project budget, it is important to specify each of cost and price. Bill Of Quantities (BOQ) is the first document which the estimator should create and consider according to the pre-prepared WBS. for each item of works the estimator should perform its cost divided into cost categories like (Materials, Man bower, Equipment, and Sub-Contractor).

Price consists of cost plus all expenses which related to the project and the organisation. this means that the price divided into Direct Cost and Overheads (Indirect Cost, Taxes, Insurances, Profits, .etc.).

Bill Of Quantities before price submission

Bill Of Quantities after price submission

 Price Breakdown before cost estimate and pricing

 Resource Dictionary

 

Direct Cost Estimate (M3 RC for Columns)