1 Just let me say that this encounter has been entirely professional and most helpful. 2  I liked that I could ask additional questions and get answered in a very short turn around. 3  Esther Woodstock, NY. 4  Thank you so much for taking your time and knowledge to support my concerns.
A project's initial costs are those that are incurred during the design and construction process. They can include any of the following: 1  Planning, preliminary engineering, and project design. 2  Environmental impact report. 3  Project-related staff training.  Final engineering.
Standard Cost. A standard cost is an estimated expense that normally occurs during the production of a product or performance of a service. In other words, this is theoretically the amount of money a company will have to spend to produce a product or perform a service under normal conditions. Standard costs are sometimes referred to as preset costs because they are estimated based on statistics and management s experience. Basically, management calculates how much each step in the production process should cost based on the market value of goods, median wages paid per employee, and average utility rates.