Project cost information refers to the total cost of a project, that is, the sum of planned reproduction of fixed assets, the formation of corresponding intangible assets and the laying of working capital. Obviously, this meaning is defined from the perspective of investors-owners. After selecting a project, investors must make decisions through project evaluation, and then carry out a series of investment management activities such as design bidding, project bidding and completion acceptance. All expenses paid in investment activities form fixed assets and intangible assets. All these expenses constitute the project cost. In this sense, the project cost is the project investment cost, and the construction project cost is the fixed assets investment of the construction project.
Project cost refers to the project price, that is, the estimated or actual price of construction and installation projects and the total price of construction projects formed in the land market, equipment market, technical labor market and other trading activities. Obviously, the second meaning of project cost is based on socialist commodity economy and market economy. It takes the specific commodity form of engineering as the exchange object, which is formed through bidding, contracting or other transactions, and finally the price is formed by the market on the basis of repeated evaluation. Usually, the second meaning of project cost is determined as the project contract price.
The so-called two meanings of project cost are to grasp the essence of the same thing from different angles. For investors in construction projects, the project cost is the project investment, which is the price paid for "purchasing" the project; At the same time, it is also the basis for investors to "sell" projects as the main body of market supply. For the contractor, the project cost is the sum of the prices of goods and services sold by him as the main supplier in the market, or the project cost within a specific range, such as the construction and installation project cost.
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