Classify incurred and remaining costs
See this course’s project requirements
A reconciled project cost sheet showing baseline, incurred costs, open commitments, forecast to finish, and a supported change recommendation.
Keep your working files in your own notebook or software. Save a private description, checklist, and work link in My Proof.
What to include
- An approved-scope baseline with checked quantities and costs.
- A cost register with three non-overlapping categories.
- A price-variance note with invoice and full-project effects.
- A forecast-to-finish sheet and two-cause variance explanation.
- A scope-change request separating incremental work and existing variance.
- A final reconciled cost-control packet with versions, causes and next decision.
Review and revise
Use these criteria to check your work and choose what to improve.
- Every required section is present and traceable to the supplied case facts.
- Decisions separate known facts, assumptions, and unresolved questions.
- Records, calculations, and instructions agree with each other and the stated rules.
- The final revision addresses a changed case and explains what someone should do next.
Want more background?
The idea in everyday life
B1 baseline $800. Day-5 records: received materials $180; completed assembly $160; delivery $0. Open orders not yet incurred: remaining materials $120 and delivery $100. Other uncommitted remaining assembly estimate $240. The original materials order total was $300, but $180 of it is already received; only $120 stays open.
Final forecast equals costs to date plus distinct future costs.
Classify incurred and remaining costs — guided practice
Separate costs that have happened from commitments still ahead.
Use a text editor, a free document editor, or paper. Start from the following fictional records; they reset this lesson even if your earlier answer differed. B1 baseline $800. Day-5 records: received materials $180; completed assembly $160; delivery $0. Open orders not yet incurred: remaining materials $120 and delivery $100. Other uncommitted remaining assembly estimate $240. The original materials order total was $300, but $180 of it is already received; only $120 stays open.
1. Sum incurred costs
Add only received goods and completed work.
You should see: 180 + 160 = $340 incurred.
This measures costs generated so far.
2. Reduce open commitments
Use the unreceived remainder of the materials order.
You should see: $120 materials + $100 delivery = $220 open.
Adding the full $300 again would double count received goods.
3. Identify other remaining work
Record uncommitted assembly separately.
You should see: $240 remaining assembly.
Future work can exist before a purchase commitment.
4. Reconcile forecast
Add the three non-overlapping categories.
You should see: 340 + 220 + 240 = $800.
The categories cover the final project once each.
What to finish
A cost register with three non-overlapping categories.
Watch for this
Counting an invoice and its original full purchase order as two different costs.
How can I tell I understand it?
Check your result against the worked example, then explain the changed case without using an unstated assumption.
Quick knowledge check
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Go to the knowledge checkOptional course overview video · same video as Lesson 1
Standard Costs and Variance Analysis
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Optional course overview. Follow the written steps below at your own pace.Tools, templates, and lesson sources
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Sources and further reading
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Source & access notes · checked 2026-09-12
Inspected March 2020 guide overview: scope, assumptions, documentation and updating estimates with actual costs. Public federal guidance; original small-project case is not an agency procedure.
Access: Public page inspected without an account.
Reuse: Reference link only. Course prose and practice data are original; no third-party text, figures, or templates are reproduced.
Source & access notes · checked 2026-09-12
Inspected February 2015 Appendix H, especially basis of estimate, input assumptions, traceability and presentation of cost drivers.
Access: Public six-page agency PDF; no account.
Reuse: Reference link only. No text, charts, templates or third-party material reproduced.
Source & access notes · checked 2026-09-12
Inspected February 2015 Appendix I on using performance information to update estimates.
Access: Public agency PDF; no account.
Reuse: Reference link only. Course records and arithmetic are independently authored.
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