Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

APC Revision > Design Economics and Cost Planning (Level 3) > Flashcards

Design Economics and Cost Planning (Level 3) Flashcards

1
Q

What are different sources of cost data?

A

Tendered Rates, BCIS Database, Market Testing, Pricing Books e.g. Spons

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

What are the stages of cost planning?

A

RIBA Plan of works stages 0-7
Cost estimate 1-2, Cost planning from 3-4.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

What are the types of cost estimates?

A

Floor Area Method - GIA multiplied by rate
Fuctional Unit Method - Multiply the number of functional units by a cost per functional unit
Elemental Method - individual elements are measured and costed, they are then combined

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

What is TPI?

A

Tender price inflation is inflation on cost estimates from the period of the estimate to the base date of the tender return.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

What is BCI?

A

Building Cost Inflation is inflation on cost estimates from date of tender return to the midpoint of the construction programme.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What are the most costly parts of a building?

A

Façade, Substructure, MEP

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

What is Value Engineering?

A

is the process of adding value to a project and this can be by either reducing cost or increasing expenditure. Its more reactive and can be later on in the project.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

What is Value Management?

A

A review of essential project functions or performances and analysing how optimum value for money can be achieved by these processes. This is undertaken earlier in the project and more proactive.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

What factors affect costs?

A

Location & Building Use
Specification and Target Sales Value
Logistics and Site Constraints
Availability of Material and Labour
Transport Costs and Routes
Neighbours

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

What is a good net to gross ratio?

A

Anything above 75%

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

What is a good wall to floor ratio?

A

0.3-04

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

What is an order of cost?

A

Area vs rate

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

What are some things that you exclude from the cost plan?

A

Land acusition, VAT, Client seperate contnigency

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

What is the difference between cost and price?

A
  • The cost is the total cost of labour, plant, materials and management deployed for a specific activity.
  • The price is the amount a purchaser or client will pay for an item or product and is made up of the cost plus the main contractor’s profit margin.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

How do you proceed if the cost plan exceeds the project budget?

A
  • I would analyse the costs to assess the source of the increase and identify whether any element of work is abnormally high against the order of cost estimate.
  • When the reason for the overspend is identified I would then look to propose value engineering options to my client and design team to bring the forecast back in line with the project budget.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

What is buildability?

A

Buildability is harnessing the contractor’s expertise and knowledge during the design stage to generate ideas for effective and efficient methods of construction.

17
Q

What are the advantages of buildability?

A
  • Buildability can result in better programming, sequencing and construction methods.
  • A quicker more efficient programme can be achieved.
  • Reduced capital and life cycle costs of the building can be obtained.
  • The quality in the finished building’s performance and maintenance characteristics can be improved.
18
Q

What is a Section 106 agreement?

A

S106s are agreements between local authorities and developers that are negotiated in the context of granting planning consent.

19
Q

Where could you find the definitions for S&C, CAT-A and CAT-B?

A

The British Council of Offices (BCO) fit-out guide.

20
Q

What information do you need to be able to carry out an order of cost estimate?

A
  • Building Location.
  • The type of building.
  • Floor area or number of functional units.
  • Storey height.
  • Whether raised access floors or deep suspended ceiling are envisaged.
  • Initial floor plans, roof plans, elevations and sections.
  • Requirements for refurbishment to existing buildings and enabling works.
  • Indication of specification and quality.
  • Indicative programme, procurement and contract strategy.
  • Budget & cashflow constraints.
  • Site conditions, probable ground conditions.
  • Indicative M&E design intent, availability of utility services and the sustainability strategy.
  • Details of professional fees, development costs, VAT and treatment of inflation.
21
Q

What are the principal components of a cost plan?

A
  • Construction costs.
  • Preliminaries.
  • Contractor’s OH&P.
  • Contingency.
  • Inflation.
  • Assumptions.
  • Exclusions.
  • Area Schedule.
  • List of Drawings & Specifications adopted.
22
Q

Name the main elements of an elemental estimate

A
  • Substructure.
  • Excavation.
  • Disposal.
  • Foundations.
  • Superstructure.
  • Frame.
  • Upper floors.
  • External walls.
  • Roof.
  • Internal finishes.
  • Services.
  • External works.
23
Q

What is usually excluded from a cost estimate?

A
  • Professional fees.
  • VAT.
  • Client decant costs.
  • Loose fixtures and fittings.
  • Inflation.
  • Site acquisition costs.
  • Section 106 Agreement.
  • Removal of asbestos.
24
Q

Why is VAT excluded?

A
  • Because different clients will incur different levels of VAT, for example charities may not be subject to VAT.
  • We would not be in a position to know the correct rate unless informed of it.
25
Q

How is contingency assessed?

A
  • The amount included should reflect the risks and unknown specific items associated with the project.
  • During the early design stages a contingency allowance can be included as an overall percentage of the cost estimate at around 5%-10%.
  • As more design information becomes available a risk register can be compiled and each item assigned a probability and cost impact. The total cost of risk register items can then be included as the project contingency.
26
Q

How do you take account of inflation when preparing a cost estimate?

A

I take into account inflation through the use of Tender Price Indices and include adjustments for BCI and TPI.

27
Q

What time period would BCI be included for?

A

I would allow for Construction inflation from the anticipated start of the project to the mid-way point of the project.

28
Q

What time period would Tender Price Inflation be included for?

A

I would allow for Tender Price inflation from the estimate base date to the anticipated tender return date.

29
Q

Whats the inflationary allowances for this year and next?

A

2.2% and 2.75% next year

30
Q

What is the current rate of Building Cost Inflation

A

3%

31
Q

How do you drive value?

A

Value Engineering
Client Meetings
Risk Management

32
Q

What is the purpose of a feasability study?

A

To assess if a project is feasible

33
Q

What is the minimum amount of information needed for a cost plan?

A

Location
Size
Function
High/ Low spec
Layout
When to start on site

34
Q

How accurate would a feasibility study be?

A

+/- 10%

35
Q

How do you price risk in the cost plan?

A

Identified risk - within the costs
Unidentified risk - design development allowance
Construction risk - contractor risk allowance
Client Change - client contingency allowance

36
Q

What system would you recommend if you had large downstand beams?

A

Underfloor system e.g. AET

37
Q

What is the difference between a cost estimate and a cost plan?

A

A cost estimate is a snapshot of the estimated final cost of a project used to establish budgets and secure funding at RIBA Stage 1-2.

A cost plan is a breakdown the various elements of a construction project and provides detailed cost estimates for each component at RIBA stage 3-4.

38
Q

What design risk % would you allow at each design stage

A

S1 - 8%
S2 - 6%
S3 - 4%
S4 - 2%

39
Q

How will ‘the budget’ affect the construction industry?

A

The increase of landfill tax will drive re-use and recycling even more.
Investments in schools and life science sectors

APC Revision (20 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions