Process of determining rate per unit of a particular item of work from the quantities and costs of materials, labours, tools and plants etc is required is known as rate analysis.

The rate of particular items depends upon the following cases:

1.Quantity of materials

2) Cost of materials

3) Number of labourers.

4) Wages of labourers

5) Hiring charges of equipment

6) Contracting profit

7) Location of worksite

8) Specifications