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# Decomposition method of construction estimate

Decomposition method of construction estimate

1. What is a construction estimate
A table that summarizes all the data such as a summary of prices, detailed price tables, unit price analysis, analysis of mortar, labor, machine … based on technical designs, or construction designs. .

– The construction estimate is made and used as a basis for the technical department, the accounting department to split related costs.

2.1 Rationale for estimation
When the bid has been won for participating in the bid, the volume and value of the project’s bid are already available. The winning estimate must be based on the bid-winning estimate to separate and base the accounting.

What is the breakdown of construction cost estimates: Based on the cost estimates to take raw material costs, labor costs, general costs, machine costs, camp costs, income before tax, then Compare the total value of each item, from the total value of the items plus compare the value of the whole project.

Step 1: Need to separate materials – labor – machine
– Column “TT”: is the order of work items.

– Column “Name of work”: is the name of the items according to the approved general cost estimate.

– Column “Unit”: is the unit of calculation of that item usually m3.

– Cot “volume”: is the volume of the item according to the estimate, the volume corresponding to the name of the work item.

– The part “Unit Price” is divided into 4 columns, including: “material – NCTT – machine research – machine”. In this part, we take the unit price in the project estimate corresponding to the item and workload.

Note: There is a different unit price depending on each item, there is an item with only the unit price of “material – NCTT” or there is an item with only “machine-machine NC”, depending on each work item.

– The part “into money” is divided into 9 columns, including “Materials – Training – NC machine – machine – cost # – general cost – Personal income tax – 10% tax – camp” as follows:

+ Column “Material” = column “volume” x column “unit price of material”

+ Column “Research research” = column “Volume” x column “unit price of current research”

+ Column “machine research” = column “volume” x column “unit price of machine research”

+ Column “machine” = column “volume” x column “unit price of machine”

+ Column “charge #” = total column (material + case study + machine study + machine) x 1.5 – 2% depending on the project, we have to see the general estimation page to know when building the estimate so that the cost # covers many%.

+ Column “general cost” = total column (material + case study + machine study + machine) x 4.5 – 6%, depending on the project, we have to look on the general estimate page to know when building the estimate for the general cost. how much %.

+ Column “self-created experiments” = total column (material + experiment + machine study + machine) x 5.5% depending on each project, we have to see the general estimation page to know how much% when building the estimate for self-created experiments.

+ Column “Tax 10%” = total column (material + case study + machine research + machine + cost # + general cost + personal income) x 10%

+ Column “camp cost” = total column (material + case study + machine study + machine + cost # + general cost + personal income + 10% tax) x 1-2% depending on the project, we must see the project page. aggregate math to know when building an estimate how much to spend camps.

Conclusion: After the accounting cost table has been extracted, based on the total data of the table above, we will know how to account (the sum of columns in the sum of money must be equal to the total cost estimate)

Construction warranty accounting procedures

Step 2: Next, extracting the detailed costs of raw materials
Breaking up this table, the accountant will know how much materials of the project are in detail to keep track of whether the materials put into the building are redundant or insufficient compared to the project estimate. The table is divided into 2 parts: the above part is the details of materials of the items, the following part is a summary of how much the works and materials occupy.

– Column “TT”: is the order of items

– Column “Name of material”: we look on the sheet “tong CF” to see which items have the value of the material, we will copy that line to the sheet “VT-VL”. If the cost estimates do not detail the types of materials, they must use the book “construction norms of the construction set” to look up what types of materials are included in this item. annual financial reporting service

– Column “Unit”: is the unit of calculation of those materials

– Column “weight” has the same value as the sheet “tong CF”

– Column “norm” look up this value in the book “construction norms of the construction set”

– Column “coefficient” takes the value of the total of the item (the coefficient is 1 +% of other materials)

– Column “Total VL” = column “volume” x column “norm” x column “coefficient”

– Column “Unit price”: we look up the unit price of the above materials in the unit price book issued by the Ministry of Construction in detail for each district of a certain province.

– Column “amount to money” = column “Total VL” x column “unit price”. The sum of the sum of the money column must be equal to the “material” column on the “tong CF” sheet.

After peeling the details of items with material, we make a summary table below to summarize the items to see how much each material is.

Step 3: Next, separating the cost of diesel oil, electricity and gasoline used in the project

Like on the sheet “VT-VL”, the valuable parts in the column “machine” on the sheet “tong CF” we copy the items and the weight to sheet “Dau”. use the book “construction norms” and “price of machine shift and construction equipment” to look up fuel usage norms of machines. Depending on each item, look up what kind of machinery that item uses in the book “construction norms” and look up the fuel use norm of each type of machine in the book “price of machine shift and construction equipment”.

– Column “TT”: order of items

– Column “work items”: names of items with “machine” part value

– Column “Unit” is the unit of calculation of the item

– Column “weight”: the value of the mass is taken according to the sheet “tong CF”

– Column “shift”: take the value in the book “construction norms” to see how many machine shifts are used

– Column “Tca” = column “volume” x “column” shift ”

– Column “electricity or oil”: look up data in the book “price of machine shift and construction equipment” to see how the norm of using the machine you have.

– Column “Total oil”: equal to the total of “Ta” columns.