Chapter 12 cost control,monitoring and accounting..pptVIP

12.2 Forcasting for Activity Cost Control For the purpose of project management and control, it is not sufficient to consider only the past record of costs and revenues incurred in a project. Good managers should focus upon future revenues, future costs and technical problems. Generally, past expenditures represent sunk costs that cannot be altered in the future and may or may not be relevant in the future. 12.2 Forcasting for Activity Cost Control Costs are reported in five categories, representing the sum of all the various cost accounts associated with each category: Budgeted Cost Estimated