COST ESTIMATE

Cost estimating is the iterative predictive process used to quantify , cost , and price the resources required by a specific scope of work.

The steps

1-Understand the scope of the activity to quantify the resources required ,

2-Apply costs to the resources

3-Apply pricing adjustments

4-Organize the output in a structured way that supports decision making.

output of the estimating process,

the cost estimate ,

1-Determining the economic feasibility of a project.

2-Evaluating between project alternatives

3-Establishing the project budget

4-Providing a basis for project cost and schedule control