Cost estimating is used to determine project costs, set prices, and evaluate investments. The top-down approach uses historical data from similar projects, while the bottom-up approach breaks costs down into small units. Costs can be categorized as fixed, variable, or incremental depending on how they change with production levels. Breakeven analysis determines the production level where total revenue equals total costs.

1. COST CONCEPTS AND DESIGN ECONOMICS INSPIRING CREATIVE AND INNOVATIVE MINDS

14. Figure 2-1

24. Breakeven Graph Profit Loss