,Cost Accounting and Financial
Management for Construction
Project Managers
Proper cost accounting and financial management are essential elements of any successful con-
struction job, and therefore make up essential skills for construction project managers and project
engineers. Many textbooks on the market focus on the theoretical principles of accounting and
finance required for head office staff like the chief financial officer (CFO) of a construction firm.
This book’s unique practical approach focuses on the activities of the construction management
team, including the project manager, superintendent, project engineer, and jobsite cost engineers
and cost accountants. In short, this book provides a seamless connection between cost account-
ing and construction project management from the construction management practitioner’s
perspective.
Following a complete accounting cycle, from the original estimate through cost controls to
financial close-out, the book makes use of one commercial construction project case study through-
out. It covers key topics like financial statements, ratios, cost control, earned value, equipment
depreciation, cash flow, and pay requests. But unlike other texts, this book also covers additional
financial responsibilities such as cost estimates, change orders, and project close-out.
Also included are more advanced accounting and financial topics such as supply chain man-
agement, activity-based accounting, lean construction techniques, taxes, and the developer’s pro
forma. Each chapter contains review questions and applied exercises and the book is supplemented
with an eResource with instructor manual, estimates and schedules, further cases and figures from
the book.
This textbook is ideal for use in all cost accounting and financial management classes on
both undergraduate and graduate level construction management or construction engineering
programs.
Len Holm is a senior lecturer in construction management at the University of Washington, USA,
and a construction professional with over 40 years’ experience in various roles, including supervi-
sion of project managers, estimators, and jobsite cost accountants. He runs his own construction
management firm, has developed and taught several new courses for construction management
students at the University of Washington, and is the author of numerous textbooks, including
Management of Construction Projects, second edition, with John Schaufelberger, and Introduction
to Construction Project Engineering, with Giovanni Migliaccio, also published by Routledge.
,The following documents are available on the eResource for this book: www.routledge.com/
Cost-Accounting-and-Financial-Management-for-Construction-Project-Managers/Holm/p/book/
9781138550650
This first list is made available to students and instructors:
UÊ Expanded and alternate versions of some figures utilized within the book:
ƕ Figure 4.3Alt: Concrete QTO for concrete COP
ƕ Figure 4.4Alt: Concrete pricing recapitulation sheet for COP
ƕ Figure 4.4L: Detailed construction estimate
ƕ Figure 4.5Alt: Summary estimate
ƕ Figure 5.1L: Detailed construction schedule
ƕ Figure 5.2L: Detailed jobsite general conditions estimate
ƕ Figure 6.1L: Detailed home office general conditions estimate
ƕ Table 10.1Alt: Overhead spread by specialty
ƕ Table 13.1L: Monthly cost loaded schedule
ƕ Table 14.3BL: Blank live SOV continuation spreadsheet template
ƕ Figure 15.1Alt: Concrete change order proposal
ƕ Figure 19.2Live: Live Excel pro forma
UÊ Other documents referred to within the book:
ƕ Case study organization chart, reference Chapter 1 and others
ƕ AIA A102 contract instructions
ƕ Sample AIA A102 contract, reference Chapter 3 and others
ƕ Jobsite layout plan, reference Chapter 11
ƕ Expanded table of contents
ƕ Live Excel estimating forms utilized in Chapter 4 of this text and in Construction Cost
Estimating, Process and Practices, Pearson, 2005.
The following are also made available to instructors:
UÊ Instructor’s Manual, complete with answers to all of the review questions and many of the
exercises. A select group of case studies from Who Done It? 101 Case Studies in Construction
Management (Amazon/Create Space, 2017), which will be published in a new format under the
title 101 Case Studies in Construction Management by Routledge in 2019, are also included.
UÊ In addition to many exercise solutions included in the instructor’s manual, several separate
spreadsheet files are also provided, including: Exercises 1.2/3.6, 1.7/3.2, 2.9/10, 10.5, 12.7,
12.9, 13.8/9, 14.2, 15.4, 16.3, 18.2/3, 19.4, and others
UÊ PowerPoint lecture slides for all 19 chapters, 19 separate files, almost 680 slides in total.
, Cost Accounting and
Financial Management
for Construction
Project Managers
Len Holm
Routledge
ROUTLEDGE
Taylor & Francis Group
LONDON AND NEW YORK
Management for Construction
Project Managers
Proper cost accounting and financial management are essential elements of any successful con-
struction job, and therefore make up essential skills for construction project managers and project
engineers. Many textbooks on the market focus on the theoretical principles of accounting and
finance required for head office staff like the chief financial officer (CFO) of a construction firm.
This book’s unique practical approach focuses on the activities of the construction management
team, including the project manager, superintendent, project engineer, and jobsite cost engineers
and cost accountants. In short, this book provides a seamless connection between cost account-
ing and construction project management from the construction management practitioner’s
perspective.
Following a complete accounting cycle, from the original estimate through cost controls to
financial close-out, the book makes use of one commercial construction project case study through-
out. It covers key topics like financial statements, ratios, cost control, earned value, equipment
depreciation, cash flow, and pay requests. But unlike other texts, this book also covers additional
financial responsibilities such as cost estimates, change orders, and project close-out.
Also included are more advanced accounting and financial topics such as supply chain man-
agement, activity-based accounting, lean construction techniques, taxes, and the developer’s pro
forma. Each chapter contains review questions and applied exercises and the book is supplemented
with an eResource with instructor manual, estimates and schedules, further cases and figures from
the book.
This textbook is ideal for use in all cost accounting and financial management classes on
both undergraduate and graduate level construction management or construction engineering
programs.
Len Holm is a senior lecturer in construction management at the University of Washington, USA,
and a construction professional with over 40 years’ experience in various roles, including supervi-
sion of project managers, estimators, and jobsite cost accountants. He runs his own construction
management firm, has developed and taught several new courses for construction management
students at the University of Washington, and is the author of numerous textbooks, including
Management of Construction Projects, second edition, with John Schaufelberger, and Introduction
to Construction Project Engineering, with Giovanni Migliaccio, also published by Routledge.
,The following documents are available on the eResource for this book: www.routledge.com/
Cost-Accounting-and-Financial-Management-for-Construction-Project-Managers/Holm/p/book/
9781138550650
This first list is made available to students and instructors:
UÊ Expanded and alternate versions of some figures utilized within the book:
ƕ Figure 4.3Alt: Concrete QTO for concrete COP
ƕ Figure 4.4Alt: Concrete pricing recapitulation sheet for COP
ƕ Figure 4.4L: Detailed construction estimate
ƕ Figure 4.5Alt: Summary estimate
ƕ Figure 5.1L: Detailed construction schedule
ƕ Figure 5.2L: Detailed jobsite general conditions estimate
ƕ Figure 6.1L: Detailed home office general conditions estimate
ƕ Table 10.1Alt: Overhead spread by specialty
ƕ Table 13.1L: Monthly cost loaded schedule
ƕ Table 14.3BL: Blank live SOV continuation spreadsheet template
ƕ Figure 15.1Alt: Concrete change order proposal
ƕ Figure 19.2Live: Live Excel pro forma
UÊ Other documents referred to within the book:
ƕ Case study organization chart, reference Chapter 1 and others
ƕ AIA A102 contract instructions
ƕ Sample AIA A102 contract, reference Chapter 3 and others
ƕ Jobsite layout plan, reference Chapter 11
ƕ Expanded table of contents
ƕ Live Excel estimating forms utilized in Chapter 4 of this text and in Construction Cost
Estimating, Process and Practices, Pearson, 2005.
The following are also made available to instructors:
UÊ Instructor’s Manual, complete with answers to all of the review questions and many of the
exercises. A select group of case studies from Who Done It? 101 Case Studies in Construction
Management (Amazon/Create Space, 2017), which will be published in a new format under the
title 101 Case Studies in Construction Management by Routledge in 2019, are also included.
UÊ In addition to many exercise solutions included in the instructor’s manual, several separate
spreadsheet files are also provided, including: Exercises 1.2/3.6, 1.7/3.2, 2.9/10, 10.5, 12.7,
12.9, 13.8/9, 14.2, 15.4, 16.3, 18.2/3, 19.4, and others
UÊ PowerPoint lecture slides for all 19 chapters, 19 separate files, almost 680 slides in total.
, Cost Accounting and
Financial Management
for Construction
Project Managers
Len Holm
Routledge
ROUTLEDGE
Taylor & Francis Group
LONDON AND NEW YORK
