Fundamentals of Alternative Investments

FUNDAMENTALS OF
PROJECT
MANAGEMENT- Cost and Finance

INTRODUCTION
 Cost estimation is mainly carried out for the purpose
of estimating approximates that are associated with
a project’s probable cost.
 With the help of a proper cost estimation process it
becomes easy to estimate the overall budget that
will be needed for completing the project.
 The key principles that are associated with cost
estimation process are offering better integrity
towards the data, managing the information
accuracy and ensuring that all the uncertain risks are
identified at the early stage so that it becomes easy
to remove the issues.

PROJECT COST TYPES
 While developing a project it becomes
essential to ensure that the project costs
are determined and calculated efficiently
so that it becomes easy to ensure that
the multi storey car parking has designed
successfully for the purpose of benefiting
the developer.
 The project cost types are mainly divided
into three variable and fixed costs, direct
and indirect costs and opportunities.
 With the help of proper cost analysis it
will become easy to determine the actual
cost associated with the project.

MAIN PROJECT COST ELEMENTS
 Base cost
 Contingencies
 Financial changes during implementation