In considering the main components of a construction budget, which costs would be expected to constitute the largest portion of a development project's expense?
A) Land costs
B) Hard construction costs
C) Soft construction costs
D) Marketing costs

Question

Quizplus · Accepted Answer

Hard construction costs, which include materials, labor, and equipment needed for construction, are typically the largest expense in a development project. Land costs may also be significant, but they are usually a one-time expense at the beginning of the project. Soft construction costs, such as architectural and engineering fees and permits, may also add up but are usually a smaller percentage of the total budget. Marketing costs are typically a smaller portion of the budget and only become relevant after the project is completed.

In Considering the Main Components of a Construction Budget, Which