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 Risk Response Implementation?
When potential project risks are identified and their probability of occurrence and impact on the project are determined, responses for ...
What are Administrative Skills?
Administrative skills include the skill of understanding the planning, budgeting, staffing etc. It also includes the ability of a person ...
What is Sensitivity Analysis?
There are several tools and techniques to perform quantitative risk analysis. One of them is sensitivity analysis. Sensitivity analysis identifies ...
What is Supervising?
As different project managers use different management school philosophies, their style of management is different form each other. Directing is ...
What is Organizing?
One of the responsibilities of a project manager is organizing the project. It involves allocating appropriate resources to the tasks ...
What is Resources?
A resource is something that can be used to get benefit from. It is a source of utility. Resources can ...