Explain why contractors use cost control methods on construction projects.
What will be an ideal response?
There are several different reasons contractors use cost control methods on construction projects. Cost control can range from a simple collection of costs for labor, material, equipment, and subcontractors, organized in projects or subprojects, to detailed compilation and analysis for every work activity. The overhead cost of cost control increases as the detailed collection and expected reporting detail increases. Therefore, contractors need to determine how much information they want from their cost systems, according to their managers and the needs of their risk partners, such as banks and bonding companies, and compare this to the staff costs to compile this information. Cost control involves construction expertise from construction engineers or project controls specialists as well as accounting staff.
You might also like to view...
As a result of poor soil, all of the following conditions prevailed in New England EXCEPT that
A. reliance on a single, staple crop became a necessity. B. the area was less ethnically mixed than its southern neighbors. C. frugality became essential to economic survival. D. hard work was required to make a living. E. diversification in agriculture and industry were encouraged.
The air inlet control door is also called ________.
A) Fresh air door B) Outside air door C) Recirculation door D) Any of the above
When a change in the volume of airflow is known, Fan Law 1 can be used to calculate the _____
a. new value for rpm b. new value to static pressure c. new value for horsepower d. old value for cfm
ASE-Style Multiple Choice A(n) ____ is a two-part glue used to hold various parts together.
A. abrasive B. catalyst C. epoxy D. flex agent