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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 is depreciation?
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
Master Format and Uniformat
The loss in value of equipment that the contractor owns.The loss is a result of age - wear and tear - and obsolescence
Renting - Leasing - Buying

2. How does insurance differ from a surety bond?
The most reliable productivity records are the contractor's own historical data based on actual experiences performing similar work
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.
Master Format and Uniformat
Liquidated Damages

3. What is the best source for productivity data?

4. What unit of time is used to measure labor?
Instruction to bidders
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.
Retainage
The Labor Hour

5. What are some of the factors a contractor considers when making a decision to bid?
Renting - Leasing - Buying
Internal Factor - External Factor - Project Related-Factor
Both extreme hot and cold will tend to slow down the pace of work.
Joist

6. Operation costs include...
A. Tires and other wear itemsb. Fuel - lubricants - and filtersc. Repair reservesd. All of the above
Common labor and material portions
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.
Skilled labor and material portions

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

8. The information provided in the General Conditions and Supplementary General Conditions does not influence the project cost.
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.
False
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 loss in value of equipment that the contractor owns.The loss is a result of age - wear and tear - and obsolescence

9. 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.
True
Lump-Sum Estimate - Unit Price Estimate
Contract Documents
Change Order

10. Name the types of Estimates
Units are assignable to jobs and are not shared by other subcontractors. Tractors; Scrapers; Front shovels; Hoes; Loaders and backhoe loaders; Hauling units; Compactors
Order of Magnitude Estimate - Square foot and cubic foot estimate - Assemblies(Systems estimate) - Detailed Estimate
Liquidated Damages
The Labor Hour

11. A good database of past project experiences is essential to preparing a quick and accurate estimate.
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
Joist
As-built drawings

12. How are the various surety bonds that may be required on a specific project obtained?
Bid
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.
A. Tires and other wear itemsb. Fuel - lubricants - and filtersc. Repair reservesd. All of the above
Lump-Sum Estimate - Unit Price Estimate

13. Where would information be found on whether a bid bond was required and - if so - its amount?
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
Lavatory
True
Bid bond requirements are stated in the advertisement of Bidders.They are usually amplified in the specifications.

14. List the factors affecting labor productivity
Common labor and material portions
External factors: market conditions and climatic conditions; beyond the control of the contractors.Internal factors: work conditions and management conditions
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.
Liquidated Damages

15. 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
Order of Magnitude Estimate - Square foot and cubic foot estimate - Assemblies(Systems estimate) - Detailed Estimate
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.
True

16. 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
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.
Foundation
True
Liquidated Damages

17. 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.
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
Kept on the site over a longer period of time - throughout almost the entire construction phase.Cranes; Air compressors; Floodlights and light towersForklifts; Pumps

18. Name 10 step process to bid

19. What unit of time is used to measure labor?
Direct Negotiation - Competitive Bidding
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
False
The Labor Hour

20. Describe and provide examples of specific use equipment and general use equipment.
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
Bid bond requirements are stated in the advertisement of Bidders.They are usually amplified in the specifications.
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

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

22. stimating labor requires determining the number of work hours to do a specific task and then applying the wage rate.
False
Contract Documents
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

23. The most reliable productivity rates come from historical data
Master Format and Uniformat
Bid bond requirements are stated in the advertisement of Bidders.They are usually amplified in the specifications.
True
Invitation to bid

24. 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
Lavatory
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

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

26. On certain projects the owner may accept proposals only from contractors who are invited to bid.
True
Addenda
Bid Bond
Internal Factor - External Factor - Project Related-Factor

27. What is the best source for productivity data?

28. stimating labor requires determining the number of work hours to do a specific task and then applying the wage rate.
Liens
True
The ability to procure the right piece of equipment for the job when the unit is needed
Master Format and Uniformat

29. Name 10 step process to bid

30. Name the types of Estimates
Foundation
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.
Order of Magnitude Estimate - Square foot and cubic foot estimate - Assemblies(Systems estimate) - Detailed Estimate
Retainage

31. What are the benefits of renting equipment?
The ability to procure the right piece of equipment for the job when the unit is needed
Predicting the cost in advance based on a model (formal or informal - plans and specifications) of a project
The loss in value of equipment that the contractor owns.The loss is a result of age - wear and tear - and obsolescence
Retainage

32. Construction estimating is more an art than a science
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
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 Labor Hour
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.

33. Working drawings - specifications - general conditions - supplementary general conditions - the owner-contractor agreement - and all addenda (if issued).
As-built drawings
Change Order
Contract Documents
1. Construction Materials 2. Erection Labor 3. Fixed Equipment Costs

34. Closely spaced beams supporting a floor or ceiling.They may be wood - steel - or concrete.
Joist
True
Liquidated Damages
True

35. What is the bid bond and how does it protect the owner?
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
Invitation to bid
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 Labor Hour

36. 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.
Bid Bond
...
As-built drawings

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

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

39. Where the project will be constructed does not have a major influence in the preparation of an estimate.
False
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.
Bid bond requirements are stated in the advertisement of Bidders.They are usually amplified in the specifications.
Liquidated Damages

40. 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.
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.
Master Format and Uniformat
Addenda
...

41. Describe factors affecting the accuracy of detail cost estimating.
True
Overtime work - shift work - hazardous work conditions - or unusually strenuous work.
Published cost standards seldom represent 100% of the project under consideration.The location factor -The time factor
1. Construction Materials 2. Erection Labor 3. Fixed Equipment Costs

42. 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
Overtime work - shift work - hazardous work conditions - or unusually strenuous work.
Overtime work - shift work - hazardous work conditions - or unusually strenuous work.
...
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.

43. Closely spaced beams supporting a floor or ceiling.They may be wood - steel - or concrete.
Truly - its both - it will never be a science. Estimators rely on their - intuition - past experience - judgment and sometimes guesses.
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
Joist
Addenda

44. A document stating the procedures to be followed by bidders.
Bid Bond
The Labor Hour
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.
Instruction to bidders

45. What are the difficulties encountered by the estimator during the preparation of a project's conceptual estimate?
Operating costs include everything required to operate each piece of equipment.Fuel - Grease and Oil - Electricity and Tire
Published cost standards seldom represent 100% of the project under consideration.The location factor -The time factor
Retainage
Joist

46. A list prepared by the architect or engineer of the contractor's uncompleted work or work to be corrected.
Punch List
False
Units are assignable to jobs and are not shared by other subcontractors. Tractors; Scrapers; Front shovels; Hoes; Loaders and backhoe loaders; Hauling units; Compactors
Published cost standards seldom represent 100% of the project under consideration.The location factor -The time factor

47. The location where material can be stored in relationship to the construction project affects productivity.
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
Foundation
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

48. Where would information be found on whether a bid bond was required and - if so - its amount?
Addenda
Liens
A. Tires and other wear itemsb. Fuel - lubricants - and filtersc. Repair reservesd. All of the above
Bid bond requirements are stated in the advertisement of Bidders.They are usually amplified in the specifications.

49. How do climatic conditions influence the amount of work actually completed in an hour?
Predicting the cost in advance based on a model (formal or informal - plans and specifications) of a project
Foundation
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

50. A surety bond guaranteeing that a bidder will sign a contract - if offered - in accordance with their proposal.
Skilled labor and material portions
Bid Bond
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.
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