II.

RATE ANALYSIS
INTRODUCTION:

➢ The process of determining rate of any work in Civil Engineering project like
earthwork, concrete work, brickwork, plastering, painting etc. is known
as Analysis of Rates or simply Rate Analysis.
➢ The rates of these works further help in determining cost of particular work and in turn
cost of the project.
➢ Rate Analysis = material cost + labour cost + 1.5 % of water from total cost of project
+ 10 % profit for Contractorfrom total cost + 5 % contingencies from total cost.
➢ The following are the steps involved in the preparation of datas,
➢ Calculate the cost of materials at site.
➢ Calculate sub data.
➢ Prepare the data.

PURPOSE OR NEED OF ANALYSIS OF RATES:

➢ To work out the actual cost of per unit of the items.
➢ To work out the economical use of materials and processes in completing the
particulars item.
➢ To work out the cost of extra items which are not provided in the contract bond, but
are to be done as per the directions of the department.
➢ To revise the schedule of rates due to increase in thecost of material and labour or due
to change intechnique.
➢ Cost of labour -types of labour, standard schedule of rates
➢ The labour can be classified into,
Skilled 1st class
Skilled IInd Class
Unskilled
RATES:
➢ For preparing the estimate the unit rates of each item of work are required.

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 ➢ For arriving at the unit rates of each item.
➢ The rates of various materials to be used in the
construction.
➢ The cost of transport materials.
➢ The wages of labour, skilled or unskilled of masons,carpenters, Mazdoor, etc.,
➢ The rates of particular item of work depends on thefollowing:
➢ Specifications of works and material about their quality, proportion and
constructional operation method.
➢ Quantity of materials and their costs.
➢ Cost of labours and their wages.
➢ Location of site of work and the distances from source and conveyance charges.
➢ Overhead and establishment charges.
➢ Profit
➢ Cost of materials at source and at site of construction.
➢ The costs of materials are taken as delivered at site inclusive of the transport local
taxes and other charges.
Data:
➢ The art of finding rate per unit of individual item in a particular work is known as a
Data.
Sub Data:
➢ The data which assists the main data is known as Sub data.
➢ After finding the sub data then only the main data can be worked out.
For Example: Brickwork in CM 1:5 in this CM 1:5 is a sub data.
Main Data:
➢ These are the main items of works. In which a particular item of work, rate is worked
out.
For Example: Brickwork in Cement Mortar 1:5
Cost of Materials at Site:
➢ Cost of materials at site is the cost of material at source pluslead charges and handling
charges.

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Example: Cost of Materials and lead particulars.
Lead:
➢ The distance between the source of availability of material and construction site is
known as lead and is calculated in Km.
➢ The conveyance cost of material depends on lead.

No. Materials unit Cost Lead in Km Rate for Handling

lead/Km Charges

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1. Sand 1m 115.00 6 4.00 14

2. Bricks 1000 Nos 1785.00 11 6.00 20

3
3. Rough stone m 160.00 12 8.00 10

Materials Unit Cost Lead in Rate/k Cost of Handling Cost at

Km m conveyance charges site

3
Sand 1m 115.00 6 4.00 24.00 14 153.00
(115+24+14)

Bricks 1000 1785.00 11 6.00 66.00 20 1871.00

Nos (1785+66+20)

3
Rough stone m 160.00 12 8.00 96.00 10 266.00
(160+96+10)

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MATERIALS REQUIREMENT FOR IMPORTANT DATAS:
➢ Unit Weight of Cement 1440 Kg/m3
Cement Mortar Quantities for various ratios
➢ For Cement Mortar 1:1 – 1 m3
✓ Cement – 1440/1 = 1440 Kg (unit Weight of cement is1440 Kg/m3)
✓ Sand = 1 m3
✓ Mixing Charges extra.
➢ For Cement Mortar 1:1.5 – 1 m3
✓ Cement – 1440/1.5 = 960 Kg (unit Weight of cement is1440 Kg/m3)
✓ Sand = 1 m3
✓ Mixing Charges extra.
➢ For Cement Mortar 1:2 – 1 m3
✓ Cement – 1440/2 = 720 Kg (unit Weight of cement is 1440Kg/m3)
✓ Sand = 1 m3
✓ Mixing Charges extra.
➢ For Cement Mortar 1:3 – 1 m3
✓ Cement – 1440/3 = 480 Kg (unit Weight of cement is 1440Kg/m3)
✓ Sand = 1 m3
✓ Mixing Charges extra.
➢ For Cement Mortar 1:4 – 1 m3
✓ Cement – 1440/4 = 360 Kg ( unit Weight of cement is 1440Kg/m3)
✓ Sand = 1 m3
✓ Mixing Charges extra.
➢ For Cement Mortar 1:5 – 1 m3
✓ Cement – 1440/5 = 288 Kg (unit Weight of cement is 1440Kg/m3)
✓ Sand = 1 m3

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 ✓ Mixing Charges extra.
➢ For Cement Mortar 1:6 – 1 m3
✓ Cement – 1440/6 = 240 Kg (unit Weight of cement is 1440Kg/m3)
✓ Sand = 1 m3
✓ Mixing Charges extra.
Cost of materials and Lead particulars

No. Materials Unit Cost in Rs. Lead in Km Rate for Handling

lead/Km Charges

1. Cement 1 tonne 7000.00 5 22 116.00

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2. Sand 1m 110.00 3 15 40.00

Cost of materials at site

Materials Unit Cost in Lead Rate/Km Cost of Handling Cost at site

Rs. in conveyance charges
Km

Cement 1 7000.00 5 22 110.00 116.00 7226.00

tonne (7000+110+1
16)

3
Sand 1m 110.00 3 15 45.00 40.00 195.00
(110+45+40)

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Cement Mortar 1:3 – 1 m3

Qty. Description Rate Per Amount

480 kg Cement 7226.00 Tonne 3468.48

(7226.00 X 0.480)

3 3
1m Sand 195.00 m 195.00
(1 X 195)

3 3
1m Mixing Charges 37.00 m 37.00
(1 X 37)

3
Rate for 1 m = Rs. 3700.48

Cement Mortar 1:5 – 1 m3

Qty. Description Rate Per Amount

288 kg Cement 7226.00 Tonne 2081.08

(7226 X 0.288)

3 3
1m Sand 195.00 m 195.00
(1 X 195)
3 3
1m Mixing Charges 37.00 m 37.00
(1 X 37)

3
Rate for 1 m = Rs. 2313.08

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Cement Mortar 1:6 – 1 m3

Qty. Description Rate Per Amount

240 kg Cement 7226.00 Tonne 1734.24

(7226 X 0.240)
3 3
1m Sand 195.00 m 195.00
(1 X 195)
3 3
1m Mixing Charges 37.00 m 37.00
(1 X 37)
3
Rate for 1 m = Rs. 1966.24

➢ Lime Mortar – 1 m3
➢ Grinding Charges extra.

Mix Ratio Lime Sand

3 3
1:11/2 0.67 m 1m

3 3
1:2 0.50 m 1m

➢ Lime Surkhi Mortar – 1 m3

➢ Grinding Charges extra.

Mix Ratio Lime Surkhi Sand

3 3 3
1:1/2:1 0.67 m 0.33 m 0.67 m

3 3 3
1:1/2:11/2 0.5 m 0.25 m 0.75 m

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Prepare Lime Mortar and Surki Mortar for the following Ratios:
✓ Lime mortar 1:2 – 1 m3
✓ Lime – 0.5 m3
✓ Sand – 1 m3
✓ Grinding Charges extra.
➢ Lime Surki Mortar 1:1/2:11/2 – 1 m3
✓ Lime – 0.5 m3
✓ Surki – 0.25 m3
✓ Sand – 0.75 m3
✓ Grinding Charges extra.
Cost of materials and Lead particulars:

No. Materials Unit Cost in Rs. Lead in Rate for Handling

Km lead/Km Charges

3
1. Lime m 1075.00 4 10.00 54.00

3
2. Sand m 110.00 6 14.00 38.00

3
3. Surkhi m 400.00 4 10.00 54.00

Grinding Charges for lime and surkhi mortar – Rs.120/m3

Materials Unit Cost in Lead Rate/Km Cost of Handling Cost at site

Rs. in conveyance charges
Km
3
Lime m 1075.00 4 10.00 40.00 54.00 1169.00
(1075+40+54)

3
Sand m 110.00 6 14.00 84.00 38.00 232.00
(110+84+38)

3
Surkhi m 400.00 4 10.00 40.00 54.00 494.00
(400+40+54)

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 ➢ Lime mortar 1:2 – 1 m3

Qty Description Rate Per Amount

3 3
0.5 m Lime 1169.00 m 584.50

3 3
1m Sand 232.00 m 232.00

3 3
1m Grinding Charges 120.00 m 120.00

3
Rate for 1 m = Rs.936.50

➢ Lime mortar 1:1.5 – 1 m3

Qty Description Rate Per Amount

3 3
0.67 m Lime 1175.00 m 787.25

3 3
1m Sand 203.00 m 203.00

3 3
1m Grinding Charges 125.00 m 125.00

3
Rate for 1 m = Rs.1115.25

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 ➢ Lime Surki Mortar 1:1/2:11/2 – 1 m3

Qty Description Rate Per Amount

3 3
0.5 m Lime 1169.00 m 584.50

3 3
0.25 m Surki 494.00 m 123.50

3 3
1m Sand 232.00 m 232.00

3 3
1m Grinding Charges 120.00 m 120.00

3
Rate for 1 m = Rs.1060.00

COSTING:
➢ Cost estimation in project management is the process of forecasting the cost and other
resourcesneeded to complete a project within a defined scope.
➢ Cost estimation accounts for each element required for the project and calculates a
total amountthat determines a project’s budget.
Principles of Cost Estimation:
➢ Cost estimation is used to predict the quantity, cost and price of the resources required
by the scope of a project.
➢ A project might be any process that is started to perform work activities and/or create
assets.
➢ The accuracy of the estimate depends heavily on the level of project scope definition:
as the design and conditions of the project become better defined, so do the estimated
values.
➢ Cost estimation is needed to provide decision-makers with the means to make
investment decisions, choose between alternatives and to set up the budget during the
front end of projects.
➢ For this, estimates made by vendors and contractors need to be validated by clients as
well.
➢ In later phases of the project, the budget estimate is used as a baseline to assess the
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 performance of a project.
➢ Estimating is done by breaking down the total scope of a project in manageable parts,
to which resources can be assigned and cost.
➢ There are standardized ways of breaking down a project, like the Work Breakdown
Structure (WBS) and the Cost Breakdown Structure (CBS), but depending on the needs
of the project team and external parties multiple structures are often implemented to
align reporting and sharing of cost data.
➢ A cost estimate is more than a list of costs. It also includes a detailed Basis of Estimate
(BOE) report that describes the assumptions, inclusions, exclusions, accuracy and other
aspects that are needed to interpret the total project cost.
➢ The BOE is required to communicate the estimate to the various parties involved in the
decision making but is also handy during closeout when the performance of the project
is compared with other projects.
➢ It is the vital part often overlooked, that allows you to learn from your experience and
mistakes.

Meaning of Standard Data:

➢ Generally large number of man hours is spent in setting the time standards by using
stopwatch time study.
➢ Further management is anxious to have the time standards before the jobs are actually
manufactured for cost estimating, scheduling, planning and other decision-making
purposes.
➢ In this case, advantage of previous time standards already on hand can be taken.
➢ Every operation consists of number of small work elements which are repeated in
various combinations.
➢ The time values for these small work elements are established accurately, and these
values are used without further time study, whenever the element occurs.
➢ These standardized timings for such elements are known as Standard Data.

Cost Control:
1. Cost control is the practice of identifying and reducing business expenses to increase
profits, and it starts with the budgeting process.
2. Cost control is an important factor in maintaining and growing profitability.
3. Cost Control is a technique which makes available the necessary information to the
management that actual costs are aligned with the budgeted costs or not.

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NOTE:
MIX PROPORTION OVERALL QUANTITY
✓ For 100 m3 of finished concrete = 152 m3 of dry ingredient material.
✓ For 10 m3 of finished concrete = 15.2 m3 of dry ingredient material.
✓ For 1 m3 of finished concrete = 1.52 m3 of dry ingredient material.
PROBLEMS:
1. To find mix proportion for 10 m3 concrete with cement concrete 1:2:4
For 10 m3 , dry ingredient quantity = 15.2 m3
15.2/(1+2+4) = 15.2/7 = 2.17 m3
Cement Quantity = 2.17 X 1 = 2.17 m3
Sand Quantity = 2.17 X 2 = 4.34 m3
Aggregate Quantity = 2.17 X 4 = 8.68 m3

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