Construction Management Practice Exam 2025 - Free Construction Management Practice Questions and Study Guide

Cost control is not considered a form of cost accounting; rather, it is a managerial process that focuses on monitoring and managing costs throughout a project. The main objective of cost control is to ensure that the actual expenditures do not exceed the planned budget and to find ways to reduce costs wherever possible. While it involves reviewing financial performance, it is distinct from cost accounting, which primarily deals with the collection, analysis, and reporting of costs associated with production or services.

Cost accounting provides detailed information about costs incurred in a particular area, which aids in decision-making, budgeting, and performance evaluation. In contrast, cost control utilizes this information to enforce budget compliance and identify variances that may require corrective actions. Thus, calling cost control a form of cost accounting does not accurately represent its function in the context of project management.

This distinction clarifies why the statement is considered false. In short, while both cost control and cost accounting deal with financial metrics and project performance, they serve different purposes and are used in different ways within the management of construction projects.