Understanding price buildup

The final tender price is made up of material, labour, plant and equipment, subcontract and spread costs.
Material, labour, plant and equipment and subcontract costs can all have overhead and profit markups.
Spread costs are made up of preliminaries (eg. scaffolding hire), extras (eg. Packing duty/Freight) and Main Contractors Discount and do not have any markups.
Spread costs are averaged out across material and / or labour and are included in the unit sell price of all the parts.
Provisional sums (eg. disturbance allowance) can also be included and shown separately to the tender price.

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