Cost Estimation RCC Building Excel Sheet In order to determine the rate of a particular item, the factors affecting the rate of that item are studied carefully and then finally a rate is decided for that item. This process of determining the rates of an item is termed as analysis of rates or rate analysis.
The rates of a particular item of work depend on the following
1.- Specifications of works and material about their quality, proportion and constructional operation method.
2- Quantity of materials and their costs.
3- Cost of labours and their wages.
4- Location of the site of work and the distances from source and conveyance charges.
5- Overhead and establishment charges
6- Profit
Cost of materials at source and at the site of construction
The costs of materials are taken as delivered at site inclusive of the transport local taxes and other charges.
Purpose of Analysis of rates
1- To work out the actual cost of per unit of the items.
2- To work out the economical use of materials and processes in completing the particulars item.
3- To work out the cost of extra items which are not provided in the contract bond, but are to be done as per the directions of the department.
4- To revise the schedule of rates due to an increase in the cost of material and labour or due to change in technique
