The total dollar amount allocated by the owner for a project/program is known as the:

The total dollar amount allocated by the owner for a project/program is known as the:

• A. Estimate
• B. Budget
• C. Warranty
• D. Contingency

Answer: (B)

The budget is the total amount allocated by the owner to cover all project costs. It represents the approved financial plan for the work and serves as the baseline for cost control and performance measurement. It encompasses the funds available to cover every facet of the project, and it’s the figure used to compare actual expenditures against what was planned. An estimate is just an early forecast before approval, a contingency is a reserve within the budget for uncertain costs, and a warranty is a post‑construction obligation, not the total funds allocated.

The budget is the total amount allocated by the owner to cover all project costs. It represents the approved financial plan for the work and serves as the baseline for cost control and performance measurement. It encompasses the funds available to cover every facet of the project, and it’s the figure used to compare actual expenditures against what was planned. An estimate is just an early forecast before approval, a contingency is a reserve within the budget for uncertain costs, and a warranty is a post‑construction obligation, not the total funds allocated.