Test 4 Flashcards
What type of expense is lumber that you bought for a job?
Direct Costs
What type of expense are the heating and lighting bills for your shop?
General Expenses
In our industry, what happens when demand for our products rises?
Supply Falls
What type of estimate allows for different design/pricing scenarios?
Cost management estimate.
Items that form part of a detailed estimate?
Materials
True or false: Debt payment is a type of overhead expense.
True
When comparing a large millwork firm to a smaller one, Which has a larger non productive workforce
Larger non-productive workforce
True or False: As an apprentice, you would receive more generalized training in a large company.
False
Which employee discipline situation must take precedence?
Safety
What 3 components combine to form business costs?
Direct costs, general expenses and profit
Which business is the simplest for you to set up?
Sole proprietor
Who is responsible for business debts incurred by your partner?
You both are
Concerning corporations, Transfering ownership is difficult?
NO. Transfer of ownership is simplified
Which trait is considered a necessity in a leader?
Integrity
When you need money sometimes you go to the bank and explain that money is coming in for several jobs but you need some money in the short term until it comes in. What type of business financing is this?
Debt Financing
What type of leader would tend to engage in group problem solving?
Democratic
An employee is unsure of exact roles and responsibilities, what would be helpful in rectifying this situation
Job Description
Which of the following is necessary for a lawful contract?
Memorandum
Capacity
Bill of sale
Shop drawings
Capacity
True or False: There must be a minimum of three parties to a contract.
False
If the terms of a contract were clearly expressed, but one party failed to understand them, is it possible that the contract may still be valid?
Yes the Terms were clearly expressed.
What are offer and acceptance?
Twin elements of an agreement
If your partner incurs debt on the part of your business, does it impact you?
Yes you are both liable
What is a “letter of intent”?
A precursor of a contract
True or False: You sign a contract that you were forced to sign. The contract is enforceable.
False
When a contractor breaches a contract, what is the most common reason?
Non - Performance
What happens when all the work and payments for a contract have been completed?
Contract is terminated
When an owner breaches a contract, what is the most common reason?
Non Payment
If you and a client decide that a certain job is not going well, yet there are no hard feelings between you, can you stop the contract?
Yes, by agreement
Which professional listed below makes rulings which are voluntarily agreed to by all parties to a contract dispute?
Arbitrator
If a client wishes to change the work you have agreed to by contract may this be done?
Yes by a signed change orde
What makes a builder’s lien an effective remedy for subcontractors to receive payment?
The bank will withhold financing from the project
How much is the amount of the hold back for lien funds in Alberta?
10%
How long after substantial completion are the funds from the major holdback released?
45 Days
What form of bidding is most often used for public projects?
Open Bidding
What might be necessary for you to be considered eligible to bid on some projects?
Your ability to post one or more bonds
Which bond is usually the only one taken out by the owner?
Payment Bond
You have a set up a CNC machine to produce the case parts for an ongoing contract. All the units are identical. Which term describes your operation?
High Vol Low mix
While reorganizing your shop you decide to place the radial arm saw, the jointer and the planer close together. What have you been considering when you make this decision?
Process Flow
A shop where production is divided up into several different departments is an example of what type of product conversion system?
Intermittent System
True or False: A smaller shop will typically produce cabinetmakers with a very specialized skill set.
False
Which two factors are the primary considerations for a shop layout?
Material flow and safety
What differentiates a work centre from a work cell?
Work cell is set up to complete a sub-assembly
What is one way scheduling differentiates from planning?
Scheduling determines who performs certain operations
To minimize storage issues for raw materials and finished products, what type of scheduling would a continuous conversion shop employ?
Backward Schedueling
What scheduling method highlights interdependent processes
Critical Path method
How does the relationship between the designer and contractor effect project costs?
Clear and concise drawings help to lower costs
