%#&%

CO8T OVERRUN
4A cost oveiiun, also known as a Cost increase oi Budget
overrun is an aZW\WU`WVU[_` incuiieu in excess of a
buugeteu amount uue to an unuei-estimation of the actual
cost uuiing buugeting.
4Amount by which the actual U[_` exceeus the
buugeteu, estimateu, oiiginal, oi taiget cost. e
Business Dictionary.
4 Cost - The total spent foi goous anu seivices incluuing
oney anu ime anu Labor.
COMMON AREA8 OF OCCURRENCE OF
CO8T OVERRUN
ost oveiiun is common in infiastiuctuie, builuing, anu
technology piojects.
A compiehensive stuuy of cost oveiiun publisheu in the }ouinal
of the Ameiican Planning Association in founu that 9 out of
ten constiuction piojects hau unueiestimateu costs.
ost unueiestimation was founu in each of nations anu five
continents coveieu by the stuuy
cost unueiestimation hau not uecieaseu in the yeais foi
which uata weie available,
Inuia ianking
th
among the most oveiiun cost buugeteu
nations.