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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. The most reliable productivity rates come from historical data
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
True
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.
Lavatory

2. Name the types of Estimates
Order of Magnitude Estimate - Square foot and cubic foot estimate - Assemblies(Systems estimate) - Detailed Estimate
Bid bond requirements are stated in the advertisement of Bidders.They are usually amplified in the specifications.
Change Order
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.

3. Describe the CSI MasterFormat and how it is used.
False
Common labor and material portions
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 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.

4. What unit of time is used to measure labor?
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.
Kept on the site over a longer period of time - throughout almost the entire construction phase.Cranes; Air compressors; Floodlights and light towersForklifts; Pumps
Scheduling overtime for more than several weeks can result in huge productivity losses.
The Labor Hour

5. Describe factors affecting the accuracy of detail cost estimating.
A gross unit such as the number of hospital beds is used.
False
1. Construction Materials 2. Erection Labor 3. Fixed Equipment Costs
Erection

6. A list prepared by the architect or engineer of the contractor's uncompleted work or work to be corrected.
Punch List
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
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

7. List the factors affecting labor productivity
Predicting the cost in advance based on a model (formal or informal - plans and specifications) of a project
False
External factors: market conditions and climatic conditions; beyond the control of the contractors.Internal factors: work conditions and management conditions
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire

8. What is the payment bond?
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 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.
Change Order
Bid

9. The assembly of components to form the completed portion of a job.
Erection
Direct Negotiation - Competitive Bidding
There may be hesitation to bid a project just before the expiration of a union agreement due to the uncertainty of the outcomes of the negotiations. There is the possibility of a strike or dramatic increases in the prevailing wage rate.
Overtime work - shift work - hazardous work conditions - or unusually strenuous work.

10. What is retainage? Why should a contractor be concerned with a retainage clause in a contract?
Renting - Leasing - Buying
Change Order
Bid bond requirements are stated in the advertisement of Bidders.They are usually amplified in the specifications.
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.

11. A work order - usually prepared by the architect and signed by the owner or the owner's agent - authorizing a change in the scope of the work and a change in the cost of the project.
Change Order
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.
...
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.

12. Construction estimating is more an art than a science
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.
Contract Documents
The most reliable productivity records are the contractor's own historical data based on actual experiences performing similar work
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.

13. What types of information are provided in the Invitation to Bid?
Retainage
Invitation to bid
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
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

14. A surety bond guaranteeing that a bidder will sign a contract - if offered - in accordance with their proposal.
External factors: market conditions and climatic conditions; beyond the control of the contractors.Internal factors: work conditions and management conditions
Renting - Leasing - Buying
True
Bid Bond

15. List the factors affecting labor productivity
External factors: market conditions and climatic conditions; beyond the control of the contractors.Internal factors: work conditions and management conditions
Direct Negotiation - Competitive Bidding
Master Format and Uniformat
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.

16. The information provided in the General Conditions and Supplementary General Conditions does not influence the project cost.
The most reliable productivity records are the contractor's own historical data based on actual experiences performing similar work
False
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.
1. Construction Materials 2. Erection Labor 3. Fixed Equipment Costs

17. A good database of past project experiences is essential to preparing a quick and accurate estimate.
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
Overtime work - shift work - hazardous work conditions - or unusually strenuous work.
1. Construction Materials 2. Erection Labor 3. Fixed Equipment Costs
True

18. Describe the composition of the Construction Cost Index (CCI).
Common labor and material portions
True
True
Kept on the site over a longer period of time - throughout almost the entire construction phase.Cranes; Air compressors; Floodlights and light towersForklifts; Pumps

19. Describe and provide examples of specific use equipment and general use equipment.
Kept on the site over a longer period of time - throughout almost the entire construction phase.Cranes; Air compressors; Floodlights and light towersForklifts; Pumps
1. Better understanding of the work to be subcontracted -2. Establishment of fair cost estimate for evaluating subcontractor's bid - 3. Checking of a subcontractor's scope of work - and4. Determination of time duration that can be assigned to a sub
The loss in value of equipment that the contractor owns.The loss is a result of age - wear and tear - and obsolescence
Order of Magnitude Estimate - Square foot and cubic foot estimate - Assemblies(Systems estimate) - Detailed Estimate

20. What is the payment bond?
Both extreme hot and cold will tend to slow down the pace of work.
Bid Bond
Change Order
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.

21. 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 loss in value of equipment that the contractor owns.The loss is a result of age - wear and tear - and obsolescence
True
Liquidated Damages
Erection

22. Construction estimating is more an art than a science
True
A gross unit such as the number of hospital beds is used.
Instruction to bidders
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.

23. An invitation to a selected list of contractors furnishing information on the submission of bids on a subject.
True
Invitation to bid
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
The ability to procure the right piece of equipment for the job when the unit is needed

24. What are the two most common methods by which a contractor can acquire a construction contract?
False
Contract Documents
Bid Bond
Direct Negotiation - Competitive Bidding

25. The assembly of components to form the completed portion of a job.
Erection
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.
True
Liens

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

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27. The substructure that supports a building or other structure.
The loss in value of equipment that the contractor owns.The loss is a result of age - wear and tear - and obsolescence
Bid
Foundation
1. Construction Materials 2. Erection Labor 3. Fixed Equipment Costs

28. What are the advantages to a small contractor of renting equipment instead of owning?
False
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.
Scheduling overtime for more than several weeks can result in huge productivity losses.
There may be hesitation to bid a project just before the expiration of a union agreement due to the uncertainty of the outcomes of the negotiations. There is the possibility of a strike or dramatic increases in the prevailing wage rate.

29. Name three common methods of procuring equipment.
Skilled labor and material portions
True
False
Renting - Leasing - Buying

30. What are the advantages to a small contractor of renting equipment instead of owning?
The ability to procure the right piece of equipment for the job when the unit is needed
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.
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.
Common labor and material portions

31. What are the benefits of renting equipment?
Retainage
The ability to procure the right piece of equipment for the job when the unit is needed
True
Both extreme hot and cold will tend to slow down the pace of work.

32. A common error made by GCs in their dealings with subcontractors is to hand them a single technical specifications section relating to their trade - without copies of either the General Requirements or the General and Supplementary General Conditions
...
Internal Factor - External Factor - Project Related-Factor
The loss in value of equipment that the contractor owns.The loss is a result of age - wear and tear - and obsolescence
1. Better understanding of the work to be subcontracted -2. Establishment of fair cost estimate for evaluating subcontractor's bid - 3. Checking of a subcontractor's scope of work - and4. Determination of time duration that can be assigned to a sub

33. Name three common methods of procuring equipment.
Overtime work - shift work - hazardous work conditions - or unusually strenuous work.
Scheduling overtime for more than several weeks can result in huge productivity losses.
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
Renting - Leasing - Buying

34. What are some of the costs that must be included in equipment operating costs?
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.
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
Predicting the cost in advance based on a model (formal or informal - plans and specifications) of a project
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.

35. What are some of the factors a contractor considers when making a decision to bid?
True
Internal Factor - External Factor - Project Related-Factor
The amount of work that can be done in an hour
Both extreme hot and cold will tend to slow down the pace of work.

36. Describe and provide examples of specific use equipment and general use equipment.
The most reliable productivity records are the contractor's own historical data based on actual experiences performing similar work
Change Order
Units are assignable to jobs and are not shared by other subcontractors. Tractors; Scrapers; Front shovels; Hoes; Loaders and backhoe loaders; Hauling units; Compactors
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

37. A common error made by GCs in their dealings with subcontractors is to hand them a single technical specifications section relating to their trade - without copies of either the General Requirements or the General and Supplementary General Conditions
Renting - Leasing - Buying
External factors: market conditions and climatic conditions; beyond the control of the contractors.Internal factors: work conditions and management conditions
...
Change Order

38. 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.
Renting - Leasing - Buying
Instruction to bidders
Bid Bond
Addenda

39. 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
Liquidated Damages
True
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.
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.

40. Operation costs include...
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.
Joist
True
A. Tires and other wear itemsb. Fuel - lubricants - and filtersc. Repair reservesd. All of the above

41. Describe factors affecting the accuracy of detail cost estimating.
Change Order
The loss in value of equipment that the contractor owns.The loss is a result of age - wear and tear - and obsolescence
1. Construction Materials 2. Erection Labor 3. Fixed Equipment Costs
False

42. Explain why using overtime is not recommended for most construction projects.
Scheduling overtime for more than several weeks can result in huge productivity losses.
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.
Lavatory
1. Better understanding of the work to be subcontracted -2. Establishment of fair cost estimate for evaluating subcontractor's bid - 3. Checking of a subcontractor's scope of work - and4. Determination of time duration that can be assigned to a sub

43. On certain projects the owner may accept proposals only from contractors who are invited to bid.
True
Lump-Sum Estimate - Unit Price Estimate
Bid bond requirements are stated in the advertisement of Bidders.They are usually amplified in the specifications.
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

44. A good database of past project experiences is essential to preparing a quick and accurate estimate.
Renting - Leasing - Buying
Kept on the site over a longer period of time - throughout almost the entire construction phase.Cranes; Air compressors; Floodlights and light towersForklifts; Pumps
True
The most reliable productivity records are the contractor's own historical data based on actual experiences performing similar work

45. Five basic skills everyone should master

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46. How do climatic conditions influence the amount of work actually completed in an hour?
True
Both extreme hot and cold will tend to slow down the pace of work.
True
A gross unit such as the number of hospital beds is used.

47. Explain firm price contracting estimates.
True
Both extreme hot and cold will tend to slow down the pace of work.
The ability to procure the right piece of equipment for the job when the unit is needed
Lump-Sum Estimate - Unit Price Estimate

48. Drawings made during the progress of construction - or subsequent thereto - illustrating how various elements of the project were actually installed.
Skilled labor and material portions
As-built drawings
Invitation to bid
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.

49. What are some of the costs that must be included in equipment operating costs?
A gross unit such as the number of hospital beds is used.
Retainage
True
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire

50. Five basic skills everyone should master

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