TECHNICAL PAPERS
Mar 1, 1986
General Overhead Distribution to Project Costs
Publication: Journal of Construction Engineering and Management
Volume 112, Issue 1
Abstract
Constructors have a need for allocation of general overhead to individual jobs that motivates the project manager to consider volume, as well as unadjusted unit costs in measuring the profitability of operations under his charge. However, some pitfalls of under‐or‐over distribution are inherent in now‐popular methods that charge a job for equipment overhead by the working hour. Pursuant to the need for a more accurate method, a case can be made for determining and using the proportion of a firm's working and equipment capital assets committed to a project as a measure of the proportion of general overhead chargeable to that project for any period.
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Copyright © 1986 ASCE.
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Published online: Mar 1, 1986
Published in print: Mar 1986
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Richard C. Ringwald
Asst. Prof., Dept. of Civ. Engrg., Engrg. Research Inst., Iowa State Univ., Ames, IA
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