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Direct overhead costs relate to project deliverables. An example is the salary of the project manager or the rental of a project workspace. While overhead is not an immediate expense, it must be remunerated (Gray & Larson, 2005).
General and Administrative (G&A) Overhead Costs
These costs are not straightforwardly associated to a project. Examples include organization costs such as advertising or accounting. G&A costs are generally billed as a percent of total costs, or items such as labor, materials, or equipment. Using the sums of direct and overhead costs for work packages, it is possible to cumulate the costs for any deliverable for the entire project (Gray & Larson, 2005)...
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