I am using ECC Option B contract and there is a few different viewpoints on how we apply the percentages listed within contract data part 2. If i have a compensation event with the following breakdown:
£2,000 - staff
£2,000 - Labour
£2,000 - materials
£2,000 - plant
Direct fee, subcontract fee,people overhead and equipment are all 15%.
Would you apply 15% to each sub total in accordance with each category. eg 15% against staff or would you apply 15% to each category and then 15% direct fee against the total of the above again effectively applying 15% twice?