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TOPIC: Direct and Indirect Costs

Direct and Indirect Costs 1 year 11 months ago #15327

  • Noor
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(1). General conditions and home office overhead are examples of what type of costs?

b.In direct
C.Both a and b

Direct and Indirect Costs 1 year 11 months ago #15328

  • Ty Weston, PMP
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Overhead is generally an indirect cost. General conditions are typically project costs not related to actual physical work i.e fees, utilities at the site, superintendent etc. These are items I can still put against the job, whereas my overhead really cannot.

Where did get this question, so we can cite the source?

Direct and Indirect Costs 1 year 11 months ago #15352

  • Kathy Castle
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General Conditions and Home Office expenses are indirect costs. Direct cost are mostly directly related with the production.
Cost classification is very important for project cost management. You can check this resource for direct and indirect cost examples.
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