ABSTRACT
This chapter needs to be read with that principle in mind, but all project managers must nevertheless work closely with their project or company accountants. Project managers have to appreciate the nature of project costs, and know how those costs are estimated, recorded and reported. Then we can start to think about how to control them. Project accounting, although it might be a terrible time-wasting nuisance, is fairly straightforward. Architects and project managers can get considerable help from published tables of typical construction project costs. Some projects will allow a greater gross profit margin than others. Project cost estimates can be made at any time during the life of a project. The work breakdown structure (WBS), should be the starting point for estimating the direct costs of all substantial projects. Coding is essential if we are to produce cost budgets for all departments working on a project.
