Test your basic knowledge |

Construction Estimating

Instructions:

Answer 50 questions in 15 minutes.
If you are not ready to take this test, you can study here.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.

1. Explain why using overtime is not recommended for most construction projects.
Generally - the advertisement describes the location - extent - and nature of the work. It will designate the authority under which the project originated. Concerning the bid - it will give the place where bidding documents are available and list the
Scheduling overtime for more than several weeks can result in huge productivity losses.
True
True

2. What unit of time is used to measure labor?
True
True
The Labor Hour
The estimator uses more detailed information such as the bay size - square feet of partition wall - number of plumbing fixtures - or square feet of carpet.

3. Statements or drawings that modify the basic contract documents after the latter have been issued to the bidders - but prior to the taking of bids.
Addenda
Order of Magnitude Estimate - Square foot and cubic foot estimate - Assemblies(Systems estimate) - Detailed Estimate
Retainage
Joist

4. Name three common methods of procuring equipment.
The ability to procure the right piece of equipment for the job when the unit is needed
The payment bond (labor and material bond) guarantees the payment of all bills incurred by the contractor for labor and materials incurred or supplied on the project.
Renting - Leasing - Buying
The most reliable productivity records are the contractor's own historical data based on actual experiences performing similar work

5. A good database of past project experiences is essential to preparing a quick and accurate estimate.
1. The contractor can get the most suitable piece of equipment.2. The equipment is most likely newer and in a better state of repair.3. The rental company handles maintenance.4. The contractor does not tie up their capital.
True
Contract Documents
Contract Documents

6. Working drawings - specifications - general conditions - supplementary general conditions - the owner-contractor agreement - and all addenda (if issued).
Contract Documents
External factors: market conditions and climatic conditions; beyond the control of the contractors.Internal factors: work conditions and management conditions
The amount of work that can be done in an hour
Internal Factor - External Factor - Project Related-Factor

7. How are the various surety bonds that may be required on a specific project obtained?
Surety bonds can only be obtained through companies who specialize in issuing surety bonds. The contractor will have to request the surety company to provide the bonds.
1. The contractor can get the most suitable piece of equipment.2. The equipment is most likely newer and in a better state of repair.3. The rental company handles maintenance.4. The contractor does not tie up their capital.
The maintenance bond guarantees the owner that the GC agrees to correct all defects of workmanship and materials for a specified period (one to three years) following occupancy by the owner.
True

8. Where the project will be constructed does not have a major influence in the preparation of an estimate.
External factors: market conditions and climatic conditions; beyond the control of the contractors.Internal factors: work conditions and management conditions
False
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
True

9. Assemblies Estimate...
Both extreme hot and cold will tend to slow down the pace of work.
The amount of work that can be done in an hour
The estimator uses more detailed information such as the bay size - square feet of partition wall - number of plumbing fixtures - or square feet of carpet.
Bid Bond

10. How does insurance differ from a surety bond?
Order of Magnitude Estimate - Square foot and cubic foot estimate - Assemblies(Systems estimate) - Detailed Estimate
True
With insurance an insurance company assumes the financial liability fora specified loss.The surety guarantees the performance of a contractor.The surety company will try to recover any losses from the contractor.
1. The contractor can get the most suitable piece of equipment.2. The equipment is most likely newer and in a better state of repair.3. The rental company handles maintenance.4. The contractor does not tie up their capital.

11. A surety bond guaranteeing that a bidder will sign a contract - if offered - in accordance with their proposal.
Bid Bond
1. Review scope 2. Quantity takeoff 3. Price materials 4. Price labor 5. Price equipment 6. Obtain specialty contractor's bid 7. Obtain supplier's bid 8. Calculate taxes - bonds - insurance - and overhead 9. Contingency 10. Profit
Skilled labor and material portions
Bid

12. What are some of the costs that must be included in equipment operating costs?
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
The CSI format is a numbering system which divides the major areas involved in the construction project into 50 divisions (0 to 49). The format allows the contractor to develop a tracking system for all types of information.
The maintenance bond guarantees the owner that the GC agrees to correct all defects of workmanship and materials for a specified period (one to three years) following occupancy by the owner.

13. An agreed-to sum chargeable against the contractor as reimbursement for damages suffered by the owner because of contractor's failure to fulfill contractual obligations
The bid bond ensures that if a contractor is awarded the bid with the time specified - the contractor will enter into the contract and provide all other specified bonds.If the contractor fails to do so without justification -the bond shall be forfeit
Joist
Internal Factor - External Factor - Project Related-Factor
Liquidated Damages

14. Where the project will be constructed does not have a major influence in the preparation of an estimate.
Skilled labor and material portions
1. Construction Materials 2. Erection Labor 3. Fixed Equipment Costs
False
The CSI format is a numbering system which divides the major areas involved in the construction project into 50 divisions (0 to 49). The format allows the contractor to develop a tracking system for all types of information.

15. A good database of past project experiences is essential to preparing a quick and accurate estimate.
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
The practice of withholding a percentage of the payment due to the contractor for the work performed and completed for that payment period.Retainage can affect the cash flow of the contractor and must be considered in the preparation of the bid.
...
True

16. The substructure that supports a building or other structure.
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.
Addenda
Foundation
Surety bonds can only be obtained through companies who specialize in issuing surety bonds. The contractor will have to request the surety company to provide the bonds.

17. Construction estimating is more an art than a science
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.
True
Order of Magnitude Estimate - Square foot and cubic foot estimate - Assemblies(Systems estimate) - Detailed Estimate
Predicting the cost in advance based on a model (formal or informal - plans and specifications) of a project

18. Closely spaced beams supporting a floor or ceiling.They may be wood - steel - or concrete.
Bid
Joist
The maintenance bond guarantees the owner that the GC agrees to correct all defects of workmanship and materials for a specified period (one to three years) following occupancy by the owner.
Generally - the advertisement describes the location - extent - and nature of the work. It will designate the authority under which the project originated. Concerning the bid - it will give the place where bidding documents are available and list the

19. Working drawings - specifications - general conditions - supplementary general conditions - the owner-contractor agreement - and all addenda (if issued).
The performance bond guarantees the owner that - within limits - the contractor will perform all work in accordance with the contract documents - and thatthe owner will receive the project built in substantialagreement with the documents.
The most reliable productivity records are the contractor's own historical data based on actual experiences performing similar work
Invitation to bid
Contract Documents

20. How do climatic conditions influence the amount of work actually completed in an hour?
The performance bond guarantees the owner that - within limits - the contractor will perform all work in accordance with the contract documents - and thatthe owner will receive the project built in substantialagreement with the documents.
Both extreme hot and cold will tend to slow down the pace of work.
Finding and bidding the type of work that's appropriate for your company - Making accurate cost estimates - Using pricing strategies that reduces your risk of loss - Anticipating the bids of your competition - Tracking overhead so you know the actual
Kept on the site over a longer period of time - throughout almost the entire construction phase.Cranes; Air compressors; Floodlights and light towersForklifts; Pumps

21. stimating labor requires determining the number of work hours to do a specific task and then applying the wage rate.
Liens
True
Generally - the advertisement describes the location - extent - and nature of the work. It will designate the authority under which the project originated. Concerning the bid - it will give the place where bidding documents are available and list the
A. Tires and other wear itemsb. Fuel - lubricants - and filtersc. Repair reservesd. All of the above

22. A sum withheld from each payment to the contractor in accordance with the terms of the owner-contractor agreement.
As-built drawings
The bid bond ensures that if a contractor is awarded the bid with the time specified - the contractor will enter into the contract and provide all other specified bonds.If the contractor fails to do so without justification -the bond shall be forfeit
True
Retainage

23. Name the types of Estimates
1. Construction Materials 2. Erection Labor 3. Fixed Equipment Costs
Order of Magnitude Estimate - Square foot and cubic foot estimate - Assemblies(Systems estimate) - Detailed Estimate
Erection
1. The contractor can get the most suitable piece of equipment.2. The equipment is most likely newer and in a better state of repair.3. The rental company handles maintenance.4. The contractor does not tie up their capital.

24. Describe the composition of the Construction Cost Index (CCI).
Bid bond requirements are stated in the advertisement of Bidders.They are usually amplified in the specifications.
As-built drawings
Common labor and material portions
True

25. Name the types of Estimates
The maintenance bond guarantees the owner that the GC agrees to correct all defects of workmanship and materials for a specified period (one to three years) following occupancy by the owner.
False
With insurance an insurance company assumes the financial liability fora specified loss.The surety guarantees the performance of a contractor.The surety company will try to recover any losses from the contractor.
Order of Magnitude Estimate - Square foot and cubic foot estimate - Assemblies(Systems estimate) - Detailed Estimate

26. Name two systems that establish standards for the building design/construction estimating process.
The estimator uses more detailed information such as the bay size - square feet of partition wall - number of plumbing fixtures - or square feet of carpet.
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
Instruction to bidders
Master Format and Uniformat

27. List the factors affecting labor productivity
Contract Documents
Overtime work - shift work - hazardous work conditions - or unusually strenuous work.
External factors: market conditions and climatic conditions; beyond the control of the contractors.Internal factors: work conditions and management conditions
Instruction to bidders

28. Five basic skills everyone should master

29. What is retainage? Why should a contractor be concerned with a retainage clause in a contract?
Lump-Sum Estimate - Unit Price Estimate
True
Contract Documents
The practice of withholding a percentage of the payment due to the contractor for the work performed and completed for that payment period.Retainage can affect the cash flow of the contractor and must be considered in the preparation of the bid.

30. Describe the composition of the Building Cost Index (BCI).
The estimator uses more detailed information such as the bay size - square feet of partition wall - number of plumbing fixtures - or square feet of carpet.
Bid bond requirements are stated in the advertisement of Bidders.They are usually amplified in the specifications.
Lump-Sum Estimate - Unit Price Estimate
Skilled labor and material portions

31. Under what conditions are wage premiums applied
Both extreme hot and cold will tend to slow down the pace of work.
Overtime work - shift work - hazardous work conditions - or unusually strenuous work.
Contract Documents
Liquidated Damages

32. Order of Magnitude Estimate...
A gross unit such as the number of hospital beds is used.
The loss in value of equipment that the contractor owns.The loss is a result of age - wear and tear - and obsolescence
The Labor Hour
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.

33. What is depreciation?
Lump-Sum Estimate - Unit Price Estimate
Invitation to bid
The loss in value of equipment that the contractor owns.The loss is a result of age - wear and tear - and obsolescence
Skilled labor and material portions

34. The substructure that supports a building or other structure.
Erection
A. Tires and other wear itemsb. Fuel - lubricants - and filtersc. Repair reservesd. All of the above
Foundation
The ability to procure the right piece of equipment for the job when the unit is needed

35. Explain why using overtime is not recommended for most construction projects.
Scheduling overtime for more than several weeks can result in huge productivity losses.
Liquidated Damages
True
False

36. Operation costs include...
A. Tires and other wear itemsb. Fuel - lubricants - and filtersc. Repair reservesd. All of the above
The most reliable productivity records are the contractor's own historical data based on actual experiences performing similar work
Foundation
Joist

37. What is the best source for productivity data?

38. Legal claims against an owner for amounts due those engaged in or supplying materials for the construction of the building.
The payment bond (labor and material bond) guarantees the payment of all bills incurred by the contractor for labor and materials incurred or supplied on the project.
The most reliable productivity records are the contractor's own historical data based on actual experiences performing similar work
Liens
Both extreme hot and cold will tend to slow down the pace of work.

39. Why is it a good idea for the general contractor to perform quantity surveys on work that is to be subcontracted out?

40. The information provided in the General Conditions and Supplementary General Conditions does not influence the project cost.
Bid
With insurance an insurance company assumes the financial liability fora specified loss.The surety guarantees the performance of a contractor.The surety company will try to recover any losses from the contractor.
False
Master Format and Uniformat

41. The most reliable productivity rates come from historical data
True
Both extreme hot and cold will tend to slow down the pace of work.
The estimator uses more detailed information such as the bay size - square feet of partition wall - number of plumbing fixtures - or square feet of carpet.
False

42. Drawings made during the progress of construction - or subsequent thereto - illustrating how various elements of the project were actually installed.
1. Review scope 2. Quantity takeoff 3. Price materials 4. Price labor 5. Price equipment 6. Obtain specialty contractor's bid 7. Obtain supplier's bid 8. Calculate taxes - bonds - insurance - and overhead 9. Contingency 10. Profit
True
As-built drawings
The estimator uses more detailed information such as the bay size - square feet of partition wall - number of plumbing fixtures - or square feet of carpet.

43. How do climatic conditions influence the amount of work actually completed in an hour?
Generally - the advertisement describes the location - extent - and nature of the work. It will designate the authority under which the project originated. Concerning the bid - it will give the place where bidding documents are available and list the
The bid bond ensures that if a contractor is awarded the bid with the time specified - the contractor will enter into the contract and provide all other specified bonds.If the contractor fails to do so without justification -the bond shall be forfeit
Both extreme hot and cold will tend to slow down the pace of work.
The practice of withholding a percentage of the payment due to the contractor for the work performed and completed for that payment period.Retainage can affect the cash flow of the contractor and must be considered in the preparation of the bid.

44. Describe factors affecting the accuracy of detail cost estimating.
Skilled labor and material portions
Skilled labor and material portions
1. Construction Materials 2. Erection Labor 3. Fixed Equipment Costs
Bid

45. Describe and provide examples of specific use equipment and general use equipment.
Units are assignable to jobs and are not shared by other subcontractors. Tractors; Scrapers; Front shovels; Hoes; Loaders and backhoe loaders; Hauling units; Compactors
The Labor Hour
The amount of work that can be done in an hour
Bid bond requirements are stated in the advertisement of Bidders.They are usually amplified in the specifications.

46. How does insurance differ from a surety bond?
Both extreme hot and cold will tend to slow down the pace of work.
Common labor and material portions
With insurance an insurance company assumes the financial liability fora specified loss.The surety guarantees the performance of a contractor.The surety company will try to recover any losses from the contractor.
Scheduling overtime for more than several weeks can result in huge productivity losses.

47. Order of Magnitude Estimate...
A. Tires and other wear itemsb. Fuel - lubricants - and filtersc. Repair reservesd. All of the above
A gross unit such as the number of hospital beds is used.
Lump-Sum Estimate - Unit Price Estimate
Liquidated Damages

48. An invitation to a selected list of contractors furnishing information on the submission of bids on a subject.
Bid
Invitation to bid
Addenda
Overtime work - shift work - hazardous work conditions - or unusually strenuous work.

49. Name three common methods of procuring equipment.
True
Renting - Leasing - Buying
The maintenance bond guarantees the owner that the GC agrees to correct all defects of workmanship and materials for a specified period (one to three years) following occupancy by the owner.
True

50. What are the advantages to a small contractor of renting equipment instead of owning?
Units are assignable to jobs and are not shared by other subcontractors. Tractors; Scrapers; Front shovels; Hoes; Loaders and backhoe loaders; Hauling units; Compactors
Invitation to bid
With insurance an insurance company assumes the financial liability fora specified loss.The surety guarantees the performance of a contractor.The surety company will try to recover any losses from the contractor.
1. The contractor can get the most suitable piece of equipment.2. The equipment is most likely newer and in a better state of repair.3. The rental company handles maintenance.4. The contractor does not tie up their capital.