Not every cost is known as an order. A claim, a setback or a subsidy that is not yet agreed legally can still change the result of a project. Invantive Estate has two subjects to register such amounts: the latest estimate and the expectation. ## Latest Estimate A latest estimate is a cost that is still to come, whether or not it is in the budget, and that is not covered by an order. It registers the minimum amount the project developer expects to spend within a contract, regardless of the orders and invoices already there. A latest estimate names the project, the cost type, the supplier that causes the cost, the contract and the amount. It also holds the observation date, which is the date on which the developer determined the amount, and an explanation, such as the reason for the expected overrun. Only cost types of the master roll up type "Costs" can be chosen. Two latest estimates cannot share the same contract. ## Expectation An expectation is a cost that is still to come and is not in the current prognosis. It is meant to compare with the prognosis and to see which extra revenue is needed to close a gap. The fields are the same as those of a latest estimate, with the addition of the realisation, which is the actual cost to date. The manual states that every expectation is converted internally into a latest estimate. ## Partially Releasing a Provision A provision is an amount on a cost type that serves as a reserve, for example for vacancy or setbacks. Nothing is booked on it directly. At a review moment the organisation decides which part of the provision can be released in favour of the result. The manual describes the steps: select a "Release Deviation" for the cost type, as described for the comment on deviation, and add a latest estimate on that cost type with the amount that cannot be released. With a provision of EUR 300,000 of which EUR 100,000 is released, the latest estimate is EUR 200,000. The EUR 100,000 released is added to the project result. ## See Also - [[Invantive Estate/Concepts/Deviation and Prognosis|Deviation and Prognosis]] - [[Invantive Estate/Concepts/Budgets|Budgets]]