Is there a difference between a project budget and project cost?
The budget is a plan of resource expenditures. The cost resulting from the expenditure of a resource is cost incurred. As an example; The project plan has a task requiring the use of a master plumber for 100 hours in July at a cost of $65.00 an hour. The resultant of $6,500.00 is a budget. The master plumber while completing the work used 87 hours at a cost of $63.84 an hour. The resultant of $5554.00 is cost incurred, sometimes referred to as actual cost for this task.
Related Questions
- What is the difference between the detailed budget for the entire project, the detailed agency budget, and the application budget worksheet (contained in the application)?
- What are the funding plans for the difference between funds raised philanthropically and the overall cost of the project?
- What happens if the total project cost comes in under the budget amount paid?
