HW1

Question 1

Elements for enforceable contract

Answer 1

Offer,acceptance,consideration,legal subject matter, competency

Question 2

Explain Change Order Process

Answer 2

The owner issues a modification proposal to the GC. The GC either reviews the proposed change or distributes it to the appropriate subcontractor. Either the GC or a subcontractor then finalizes the estimate of the cost and the schedule impact of the change and submits the proposal to the owner. The owner evaluates the price and schedule proposed by the GC and chooses to proceed with the change, negotiate the price and schedule with the GC, or not proceed. If the owner chooses to proceed, they may issue a formal change order at the agreed price or on a cost-plus basis of payment plus the schedule adjustment

Question 3

Why should an employer care about employee safety?

Answer 3

Integrity, Legal, Morality, Employee Retention, Company Reputation

Question 4

Fast Tracking

Answer 4

Starting the construction phase of the project before the design is entirely complete. This reduces the total project delivery time, resulting in both time and economical savings. Relevant DB projects or in projects that have short deadlines.

Question 5

Productivity

Answer 5

Productivity is the economic measure of output of a worker, machine, or work crew (total output per unit of input). Relevant to all construction projects, particularly in relation to budgeting.

Question 6

Privity of Contract

Answer 6

Only the parties that are involved in a contract are legally allowed to take the benefits or be subjected to the burdens and obligations of the contract. This is relevant in all contracts.

Question 7

Write out the formula to show P in terms of F while taking time value of money into account

Answer 7

𝑃 = 𝐹/( (1 + 𝑖)^n)

Question 8

Define Time Value of Money.

Answer 8

Time Value of Money is the idea that money at the present time is worth more than the same amount at some point in the future due it its potential earning capability