CH. 6 Review Questions

Question 1

1) What would you conclude is the most important item specified in the bid documents in relationship to creating a lump-sum bid?

Answer 1

WBS

Question 2

2) What happens to a contractor’s bid if the owner receives it five minutes after the time it is due?

Answer 2

nonresponsive- disqualified

Question 3

3) What is WBS used for?

Answer 3

It is used to break down the project into it’s major components. Doing this further identifies which scope of work will be delegated to the contractor or sub. WBS is used for planning/scheduling the project. WBS help further develop the cost estimate by understanding the constructability process in a more accurate(yet still very general) way.

Question 4

4) Who has the ultimate responsibility for tending a viable bid?

Answer 4

Company’s OIC

Question 5

5) For most projects, 20% of the work items represent what percentage of the cost?

Answer 5

80%

Question 6

6) What are two sources of common errors in the estimating process?

Answer 6

Incorrect calculations of pricing, adding the wrong items/columns, incorrectly transferring numbers, dimension conversions, decimal misplacement

Question 7

7) Two terms for the bid package of documents issued to a general contract …

Answer 7

invitation for bid and Request for qualification (RFQ)?

Question 8

8) What is the best way to request a clarification of bid documents?

Answer 8

RFI. This document becomes part of the bid package.

Question 9

9) When should verbal answers to questions to the owner or architect be accepted?

Answer 9

Person who provided verbal answer is not liable because an addenda wasn’t issued to all bidders. For general clarification of scope.

Question 10

10) What are three factors that the OIC will consider in deciding whether to tender a bid?

Answer 10

Is the project within the contractor’s wheelhouse? Does the contractor have the resources to to perform the work? How many bidders are involved and are they similar types in comparison to scope of project?

Question 11

11) What is the difference between a subcontractor and a major supplier?

Answer 11

Subcontractors may provide misc. materials, but their sole duty is to perform scopes of work that the GC isn’t performing. Suppliers just furnish and supply the materials

Question 12

12) Besides using a factor in deciding whether to bid a project, what else is the ROM estimate used for?

Answer 12

Items associated with up-to-date costs can be used for future estimating references