Cost Section of Proposal Notes: Definitions & Explanations PDF | Download eBooks
Study Cost Section of Proposal lecture notes PDF with project management definitions and explanation to study “What is Cost Section of a Proposal?”. Study cost section of proposal explanation with project management terms to review project management course for online MBA programs.
Cost Section of Proposal Definition:
Cost section of a proposal convinces the customer that the contractor's price for the proposed project is realistic and reasonable.
Successful Project Management by Jack Gido and James P. Clements
Cost Section of Proposal Notes:
A customer requests the contractors for proposals for a particular project. This proposal from a contractor normally has three sections. One of them is cost section. The cost section of a proposal includes all the cost related estimates that aid in convincing the customer that the estimations are realistic. Sometimes the customers are interested in the total cost of the project but usually the cost of each individual item of the project is desired by the customer i.e. the breakdown of the costs in relation to the activities. The elements that are included in the cost section of the proposal are Labor cost, material cost, subcontractors/consultants fee, equipment cost, travel expenditure, documentation cost, overhead, costs associated with the escalation of the project, contingency and profit.
Keep Learning with Project Management Notes
What is Multi Criteria Decision Analysis?
Situations during a project arise when tough decisions are to be made. Although decisions are made at every step of ...
What is Project Plan?
To carry out a particular project, planning is the fundamental element. A project must be planned first so that the ...
What is Budget at Completion?
Different costs are associated with a project. One of them is called budget at completion. Budget at completion is the ...
What is Organizational Project Management?
Although a project, program and portfolio, all have their own goals and objectives, strategies, methods and processes, but these aspects ...
What is Project Calendar?
A project is a time-specific endeavor. Working days, shifts and hours are specified for the project activities. A document that ...
What is Risk Management?
Risk management is a crucial part of project management. It involves all the steps related to identification of risks, their ...