Profit Measures for Construction Projects
Publication: Journal of Construction Engineering and Management
Volume 112, Issue 2
Abstract
The basic issues related to profit measures of a construction project for the contractor are presented. Specifically, the problem of measuring gross operating profit and financing costs under fluctuating economic environments which has been heretofore inadequately treated in the literature of construction management is addressed. A framework for analyzing financing costs under different financial mechanisms, including the effects of overdraft and other borrowing arrangements, is presented. The general procedure is also applicable to the analysis of the effects of inflation and of work stoppages on profit. Finally, the cost of a project to the owner and the relationship between uncertainty and contract price from the views of both the owner and the contractor are considered.
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References
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Information & Authors
Information
Published In
Journal of Construction Engineering and Management
Volume 112 • Issue 2 • June 1986
Pages: 273 - 286
Copyright
Copyright © 1986 ASCE.
History
Published online: Jun 1, 1986
Published in print: Jun 1986
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