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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. What are the advantages to a small contractor of renting equipment instead of owning?
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.
The amount of work that can be done in an hour
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

2. What unit of time is used to measure labor?
Liquidated Damages
Published cost standards seldom represent 100% of the project under consideration.The location factor -The time factor
Erection
The Labor Hour

3. Under what conditions are wage premiums applied
Overtime work - shift work - hazardous work conditions - or unusually strenuous work.
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
Renting - Leasing - Buying
Liquidated Damages

4. Closely spaced beams supporting a floor or ceiling.They may be wood - steel - or concrete.
Erection
Punch List
Joist
External factors: market conditions and climatic conditions; beyond the control of the contractors.Internal factors: work conditions and management conditions

5. The location where material can be stored in relationship to the construction project affects productivity.
True
Lump-Sum Estimate - Unit Price Estimate
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 estimator uses more detailed information such as the bay size - square feet of partition wall - number of plumbing fixtures - or square feet of carpet.

6. A sum withheld from each payment to the contractor in accordance with the terms of the owner-contractor agreement.
External factors: market conditions and climatic conditions; beyond the control of the contractors.Internal factors: work conditions and management conditions
Lavatory
Retainage
Overtime work - shift work - hazardous work conditions - or unusually strenuous work.

7. What are some of the factors a contractor considers when making a decision to bid?
Internal Factor - External Factor - Project Related-Factor
Master Format and Uniformat
Erection
True

8. Order of Magnitude Estimate...
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 amount of work that can be done in an hour
True
A gross unit such as the number of hospital beds is used.

9. What are some of the costs that must be included in equipment operating costs?
Kept on the site over a longer period of time - throughout almost the entire construction phase.Cranes; Air compressors; Floodlights and light towersForklifts; Pumps
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.
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
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.

10. Name 10 step process to bid

11. Describe the composition of the Construction Cost Index (CCI).
External factors: market conditions and climatic conditions; beyond the control of the contractors.Internal factors: work conditions and management conditions
Common labor and material portions
Retainage
True

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

13. How are the various surety bonds that may be required on a specific project obtained?
The most reliable productivity records are the contractor's own historical data based on actual experiences performing similar work
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.
Change Order
Addenda

14. How do climatic conditions influence the amount of work actually completed in an hour?
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. 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
Both extreme hot and cold will tend to slow down the pace of work.
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.

15. Explain firm price contracting estimates.
The most reliable productivity records are the contractor's own historical data based on actual experiences performing similar work
Bid Bond
Lump-Sum Estimate - Unit Price Estimate
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.

16. 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
Scheduling overtime for more than several weeks can result in huge productivity losses.
...
Predicting the cost in advance based on a model (formal or informal - plans and specifications) of a project
Foundation

17. Describe the CSI MasterFormat and how it is used.
Skilled labor and material portions
True
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.
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.

18. What are some of the costs that must be included in equipment operating costs?
Liquidated Damages
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
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire

19. Name 10 step process to bid

20. The information provided in the General Conditions and Supplementary General Conditions does not influence the project cost.
True
False
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.

21. A bathroom sink
Lavatory
Order of Magnitude Estimate - Square foot and cubic foot estimate - Assemblies(Systems estimate) - Detailed Estimate
Common labor and material portions
The Labor Hour

22. What is the payment bond?
Bid
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.
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

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

24. Describe the composition of the Building Cost Index (BCI).
Lump-Sum Estimate - Unit Price Estimate
...
Skilled labor and material portions
Both extreme hot and cold will tend to slow down the pace of work.

25. How are the various surety bonds that may be required on a specific project obtained?
Predicting the cost in advance based on a model (formal or informal - plans and specifications) of a project
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.
Units are assignable to jobs and are not shared by other subcontractors. Tractors; Scrapers; Front shovels; Hoes; Loaders and backhoe loaders; Hauling units; Compactors
Kept on the site over a longer period of time - throughout almost the entire construction phase.Cranes; Air compressors; Floodlights and light towersForklifts; Pumps

26. Closely spaced beams supporting a floor or ceiling.They may be wood - steel - or concrete.
Invitation to bid
Joist
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.
Invitation to bid

27. 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.
Foundation
Liens
As-built drawings
Change Order

28. Describe and provide examples of specific use equipment and general use equipment.
The ability to procure the right piece of equipment for the job when the unit is needed
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.
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

29. An invitation to a selected list of contractors furnishing information on the submission of bids on a subject.
Liquidated Damages
Invitation to bid
Bid bond requirements are stated in the advertisement of Bidders.They are usually amplified in the specifications.
Liens

30. What are the advantages to a small contractor of renting equipment instead of owning?
Scheduling overtime for more than several weeks can result in huge productivity losses.
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
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

31. A surety bond guaranteeing that a bidder will sign a contract - if offered - in accordance with their proposal.
A. Tires and other wear itemsb. Fuel - lubricants - and filtersc. Repair reservesd. All of the above
Bid Bond
Invitation to bid
Master Format and Uniformat

32. Describe and provide examples of specific use equipment and general use equipment.
Master Format and Uniformat
Predicting the cost in advance based on a model (formal or informal - plans and specifications) of a project
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 estimator uses more detailed information such as the bay size - square feet of partition wall - number of plumbing fixtures - or square feet of carpet.

33. What is depreciation?
The loss in value of equipment that the contractor owns.The loss is a result of age - wear and tear - and obsolescence
True
True
Punch List

34. A list prepared by the architect or engineer of the contractor's uncompleted work or work to be corrected.
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
1. Construction Materials 2. Erection Labor 3. Fixed Equipment Costs
True
Punch List

35. How do climatic conditions influence the amount of work actually completed 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.
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.
Both extreme hot and cold will tend to slow down the pace of work.
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

36. What is the bid bond and how does it protect the owner?
Punch List
A. Tires and other wear itemsb. Fuel - lubricants - and filtersc. Repair reservesd. All of the above
Liens
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

37. What is the maintenance bond?
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.
1. Construction Materials 2. Erection Labor 3. Fixed Equipment Costs
Liens

38. 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.
Internal Factor - External Factor - Project Related-Factor
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.
Change Order
Both extreme hot and cold will tend to slow down the pace of work.

39. What types of information are provided in the Invitation to Bid?
Common labor and material portions
The amount of work that can be done 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
Both extreme hot and cold will tend to slow down the pace of work.

40. On certain projects the owner may accept proposals only from contractors who are invited to bid.
Contract Documents
Units are assignable to jobs and are not shared by other subcontractors. Tractors; Scrapers; Front shovels; Hoes; Loaders and backhoe loaders; Hauling units; Compactors
True
As-built drawings

41. What is retainage? Why should a contractor be concerned with a retainage clause in a contract?
...
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.
Scheduling overtime for more than several weeks can result in huge productivity losses.
Overtime work - shift work - hazardous work conditions - or unusually strenuous work.

42. stimating labor requires determining the number of work hours to do a specific task and then applying the wage rate.
Foundation
The amount of work that can be done in an hour
The Labor Hour
True

43. What types of information are provided in the 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
Liquidated Damages
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

44. 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
Published cost standards seldom represent 100% of the project under consideration.The location factor -The time factor
The Labor Hour
Liquidated Damages

45. 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.
Contract Documents
Lavatory
Order of Magnitude Estimate - Square foot and cubic foot estimate - Assemblies(Systems estimate) - Detailed Estimate

46. What does the labor hour represent?
Skilled labor and material portions
True
Punch List
The amount of work that can be done in an hour

47. 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
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
Invitation to bid
Liquidated Damages
...

48. The substructure that supports a building or other structure.
Predicting the cost in advance based on a model (formal or informal - plans and specifications) of a project
Foundation
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.

49. What are the difficulties encountered by the estimator during the preparation of a project's conceptual estimate?
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
Direct Negotiation - Competitive Bidding
Published cost standards seldom represent 100% of the project under consideration.The location factor -The time factor
Bid Bond

50. Name three common methods of procuring equipment.
Erection
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
Renting - Leasing - Buying
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