Indirect costs in construction - Revision history

Designing Buildings at 08:11, 3 February 2023

2023-02-03T08:11:21Z

← Older revision		Revision as of 08:11, 3 February 2023
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	So, indirect costs do not vary directly with production levels, whereas direct costs remain dependent on production levels and will vary when production is increased or decreased.		So, indirect costs do not vary directly with production levels, whereas direct costs remain dependent on production levels and will vary when production is increased or decreased.
		+
		+	NB [https://www.rics.org/uk/upholding-professional-standards/sector-standards/construction/rics-cost-prediction-professional-statement-global-1st-edition/ Cost prediction, Professional Statement, 1st edition], published in November 2020 by the Royal Institution of Chartered Surveyors (RICS), defines indirect costs as: ‘…costs incurred during construction works that cannot be attributed to any one section of the works; they may be fixed (e.g. the cost of bringing accommodation to the site) or time-related (e.g. the cost of insurance or security personnel).’

	For more information see: Direct costs.		For more information see: Direct costs.

2021-12-22T16:15:51Z

← Older revision		Revision as of 16:15, 22 December 2021
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	For more information see: Direct costs.		For more information see: Direct costs.

−	= Related articles on Designing Buildings ~~Wiki~~ =	+	= Related articles on Designing Buildings =

	* Business administration.		* Business administration.

2021-03-09T11:09:26Z

← Older revision		Revision as of 11:09, 9 March 2021
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−	Indirect costs are those costs that are necessary to keep a process or project running, but which do not vary directly with the volume of goods or services produced and are not easily attributable to a particular process or project. This might for example include; rent, insurance, advertising and marketing and so on. These types of indirect costs may be referred to as overheads.	+	Indirect costs (or indirect spend) are those costs that are necessary to keep a process or project running, but which do not vary directly with the volume of goods or services produced and are not easily attributable to a particular process or project. This might for example include; rent, insurance, advertising and marketing and so on. These types of indirect costs may be referred to as overheads.

	This is as opposed to direct costs, which are those costs incurred directly by production and include items such as raw materials, labour, equipment, power and so on. Direct costs can be traced and are attributed to a cost ‘object’ which may be a product, department, cost centre or project.		This is as opposed to direct costs, which are those costs incurred directly by production and include items such as raw materials, labour, equipment, power and so on. Direct costs can be traced and are attributed to a cost ‘object’ which may be a product, department, cost centre or project.

2021-01-31T07:17:10Z

← Older revision

Revision as of 07:17, 31 January 2021

2021-01-31T07:16:51Z

← Older revision		Revision as of 07:16, 31 January 2021
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	* Project overheads.		* Project overheads.

−	[[Category:Contracts_/_payment]] [[Category:Cost_/_business_planning]] [[Category:Procurement]]	+	[[Category:DCN_Definition]] [[Category:DCN_Guidance]] [[Category:Contracts_/_payment]] [[Category:Cost_/_business_planning]] [[Category:Procurement]]

2019-06-19T13:18:57Z

← Older revision		Revision as of 13:18, 19 June 2019
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−	~~#redirect~~:[[~~Direct_cost\|Direct cost~~]]	+	Indirect costs are those costs that are necessary to keep a process or project running, but which do not vary directly with the volume of goods or services produced and are not easily attributable to a particular process or project. This might for example include; rent, insurance, advertising and marketing and so on. These types of indirect costs may be referred to as overheads.
		+
		+	This is as opposed to direct costs, which are those costs incurred directly by production and include items such as raw materials, labour, equipment, power and so on. Direct costs can be traced and are attributed to a cost ‘object’ which may be a product, department, cost centre or project.
		+
		+	So, indirect costs do not vary directly with production levels, whereas direct costs remain dependent on production levels and will vary when production is increased or decreased.
		+
		+	For more information see: Direct costs.
		+
		+	= Related articles on Designing Buildings Wiki =
		+
		+	* Business administration.
		+	* Business case.
		+	* Cost information.
		+	* Cost overruns.
		+	* Cost planning.
		+	* Direct costs.
		+	* Estimate.
		+	* Head office overheads.
		+	* How to calculate head office overheads and profit.
		+	* Loss and expense.
		+	* Margin.
		+	* Preliminaries.
		+	* Profit.
		+	* Profit and overheads.
		+	* Project overheads.
		+
		+	[[Category:Contracts_/_payment]] [[Category:Cost_/_business_planning]] [[Category:Procurement]]

2019-05-23T18:09:03Z

Redirected page to Direct cost

New page

#redirect:[[Direct_cost|Direct cost]]