CONSTRUCTION MANAGEMENT
PRACTICE TEST QUESTIONS &
DETAILED PASSED ANSWERS 100%
Based on the guide quantity of 100 CY on a bid document for rock excavation, a
contractor bid a unit price of $20/CY. If the owner's representative determined that the
contractor excavated 85 CY of rock during construction, how much will the contractor
get paid?
(a). $2000
(b). $1700
(c). $300
(d). $1800 - Correct Answer ✔✔ (b)
Which of the following documents are included in the bid package?
I. Proposal Form
II. Special Conditions
III. Technical Specifications
IV. General Conditions
V. Bid Bond
(a). I, II, and III
(b). II, III, and IV
(c). I, II, IV, and V
(d). I, II, III, and IV - Correct Answer ✔✔ (d)
The document requested by the owner as a protection against the risk of the contractor
not accepting the job once awarded the project is
(a). Insurance
(b). Performance Bond
(c). Bid Bond
(d). Payment Bond - Correct Answer ✔✔ (c)
Which of the following would not be considered an excusable delay?
(a). Labor Strikes
(b). Review process delays
(c). A hurricane closing a port delaying delivery of materials
(d). Death of a contractor - Correct Answer ✔✔ (b)
The typically 30-90 days period after the bid opening where the contractor is bound by
their bid is called
(a). Acceptance period
(b). Bid period
(c). Anxiety period
(d). Risk period - Correct Answer ✔✔ (a)
, The procedure that allows a contractor to propose changes to the design with the
approval of the designer to save time and/or money is called
(a). Process Engineering
(b). Value Engineering
(c). Design build engineering
(d). Cost engineering - Correct Answer ✔✔ (b)
Which of the following documents determines the zero day of the project for scheduling
purposes?
(a). Proposal Form
(b). Formal contract
(c). Notice to bidders
(d). Notice to proceed - Correct Answer ✔✔ (d)
The amount held back from the payments to give the contractor an incentive to finish
the job on time is called
(a). Retainage
(b). Escrow
(c). Progress Payment
(d). Liquidated damages - Correct Answer ✔✔ (a)
Which of the following types of contracts require the contractor to carry the risk of
increased costs
(a). Cost + %fee
(b). Cost + fixed fee
(c). Target price with profit sharing
(d). GMP - Correct Answer ✔✔ (d)
Which of the following is included in a lump sum bid price?
(a). Direct cost of construction
(b). Indirect costs of construction
(c). change orders
(d). Home office overhead - Correct Answer ✔✔ (a), (b), (d)
Which of the following are NOT true for design bid build project delivery system?
I. Lowest responsible price is used
II. Phased construction is possible
III. Contractor carries most of risk
IV. Designers have access to contractor's expertise
(a). I and IV
(b). II and IV
(c). II and III
(d). II, III, and IV - Correct Answer ✔✔ (b).
PRACTICE TEST QUESTIONS &
DETAILED PASSED ANSWERS 100%
Based on the guide quantity of 100 CY on a bid document for rock excavation, a
contractor bid a unit price of $20/CY. If the owner's representative determined that the
contractor excavated 85 CY of rock during construction, how much will the contractor
get paid?
(a). $2000
(b). $1700
(c). $300
(d). $1800 - Correct Answer ✔✔ (b)
Which of the following documents are included in the bid package?
I. Proposal Form
II. Special Conditions
III. Technical Specifications
IV. General Conditions
V. Bid Bond
(a). I, II, and III
(b). II, III, and IV
(c). I, II, IV, and V
(d). I, II, III, and IV - Correct Answer ✔✔ (d)
The document requested by the owner as a protection against the risk of the contractor
not accepting the job once awarded the project is
(a). Insurance
(b). Performance Bond
(c). Bid Bond
(d). Payment Bond - Correct Answer ✔✔ (c)
Which of the following would not be considered an excusable delay?
(a). Labor Strikes
(b). Review process delays
(c). A hurricane closing a port delaying delivery of materials
(d). Death of a contractor - Correct Answer ✔✔ (b)
The typically 30-90 days period after the bid opening where the contractor is bound by
their bid is called
(a). Acceptance period
(b). Bid period
(c). Anxiety period
(d). Risk period - Correct Answer ✔✔ (a)
, The procedure that allows a contractor to propose changes to the design with the
approval of the designer to save time and/or money is called
(a). Process Engineering
(b). Value Engineering
(c). Design build engineering
(d). Cost engineering - Correct Answer ✔✔ (b)
Which of the following documents determines the zero day of the project for scheduling
purposes?
(a). Proposal Form
(b). Formal contract
(c). Notice to bidders
(d). Notice to proceed - Correct Answer ✔✔ (d)
The amount held back from the payments to give the contractor an incentive to finish
the job on time is called
(a). Retainage
(b). Escrow
(c). Progress Payment
(d). Liquidated damages - Correct Answer ✔✔ (a)
Which of the following types of contracts require the contractor to carry the risk of
increased costs
(a). Cost + %fee
(b). Cost + fixed fee
(c). Target price with profit sharing
(d). GMP - Correct Answer ✔✔ (d)
Which of the following is included in a lump sum bid price?
(a). Direct cost of construction
(b). Indirect costs of construction
(c). change orders
(d). Home office overhead - Correct Answer ✔✔ (a), (b), (d)
Which of the following are NOT true for design bid build project delivery system?
I. Lowest responsible price is used
II. Phased construction is possible
III. Contractor carries most of risk
IV. Designers have access to contractor's expertise
(a). I and IV
(b). II and IV
(c). II and III
(d). II, III, and IV - Correct Answer ✔✔ (b).
