Cost estimation typically includes the following components:
Direct Costs: These are costs that can be directly attributed to a project, such as labor, materials, and equipment. Indirect Costs: Costs that are not directly tied to a specific project but are necessary for its completion, like administrative expenses and overheads. Contingency Costs: A buffer for unexpected expenses or risks that might occur during the project. Fixed Costs: Costs that remain constant regardless of the project's scope or duration, such as rent or salaries. Variable Costs: Costs that fluctuate based on the project's progress, like utility bills or raw materials.