CM 4211 Final Exam Solution Manual Already Passed

CM 4211 Final Exam Solution Manual Already Passed All of the following statements are TRUE, except one. Which one? - Answers A conditional agreement with an offer is an acceptance. All of the following statements are TRUE, except one. Which one? - Answers Consideration is always measured in money. All of the following statements are TRUE, except one. Which one? - Answers Most contract breaches are of express conditions. All of the following statements are TRUE, except one. Which one? - Answers The main advantage to an owner of using a cost-plus-percentage fee arrangement is the incentive for the contractor to hold down construction cost. Only one of the following statements are TRUE. Which one? - Answers Liquidated damages are an agreed-upon daily amount for finishing late. All of the following statements are TRUE, except one. Which one? - Answers In a guaranteed maximum price contract the contractor cannot lose money. All of the following statements are TRUE, except one. Which one? - Answers The bid form itself is drafted and completed by the owner. All of the following statements are TRUE, except one. Which one? - Answers The changes clause usually does not give the owner the unilateral right to make changes to the contract. All of the following statements are TRUE, except one. Which one? - Answers If Physical Conditions Reports are included in the bid documents, they can always be relied on by the contractor even if there is a disclaimer in the contract made by the owner. All of the following statements are TRUE, except one. Which one? - Answers The cost of materials stored onsite, but not yet incorporated into the project will be owed by the owner to the contractor even when there is provision in the contract documents to do so. All of the following statements are TRUE, except one. Which one? - Answers An "escalation" clause may be included in a short-term lump sum contract. All of the following statements are TRUE, except one. Which one? - Answers A purchase order is usually given by the owner to the contractor. All of the following statements are TRUE, except one. Which one? - Answers "F.O.B." means freight overboard. All of the following statements are TRUE, except one. Which one? - Answers A 24-hour clause gives a prime contractor the right to terminate a subcontractor after giving 24 hour notice to the subcontractor. All of the following statements are TRUE, except one. Which one? - Answers The principal reason for licensing of contractors is to allow incompetent people to be in the industry. All of the following statements are TRUE, except one. Which one? - Answers A proprietorship may use any name it wants without restriction. All of the following statements are TRUE, except one. Which one? - Answers In partnership dissolution, a commercial lender gets paid before a partner lender. Only one of the following statements are TRUE. Which one? - Answers One of the defining characteristics of a corporation is perpetual duration (until liquidation). All of the following statements are TRUE, except one. Which one? - Answers "LLC" stands for Limited Liability Corporation. All of the following statements are TRUE, except one. Which one? - Answers A conventional joint venture requires all of its members to be licensed contractors if the venture is for a construction project. All of the following statements are TRUE, except one. Which one? - Answers Joint venture participation percentages are always prorata based on the number of members in the venture. All of the following statements are TRUE, except one. Which one? - Answers Usually, an item joint venture itself will own whatever equipment is needed for the project. All of the following statements are TRUE, except one. Which one? - Answers A long-term contract is one that takes more than one year to preform. All of the following statements are TRUE, except one. Which one? - Answers As income statement shows the nature and amount of a company's income at a particular point in time. All of the following statements are TRUE, except one. Which one? - Answers "CSI" stands for Construction Specification Industry. All of the following statements are TRUE, except one. Which one? - Answers The identification of the funding institution is one of the four main things that should be in an advertisement for bids on a public project. All of the following statements are TRUE, except one. Which one? - Answers In general, late bids on a public project are allowed. All of the following statements are TRUE, except one. Which one? - Answers Union security provisions require membership in the union as a pre-condition of employment. All of the following statements are TRUE, except one. Which one? - Answers A lockout is when a union goes on strike illegally. Only one of the following statements are TRUE. Which one? - Answers A graveyard shift worker gets paid more for 8 hours of work than a day shift worker. All of the following statements are TRUE, except one. Which one? - Answers So long as a contractor has a written contract with an individual to provide services for the contractor, the individual will never be considered a statutory employee of the contractor. All of the following statements are TRUE, except one. Which one? - Answers Public liability policies provide liability coverage for a construction contractor in the event the contractor is hurt on the job site. Only one of the following statements are TRUE. Which one? - Answers An endorsement to an insurance policy may provide additional coverage. All of the following statements are TRUE, except one. Which one? - Answers A builder's risk policy covers the risk the contractor has underbid the project. All of the following statements are TRUE, except one. Which one? - Answers Losses due to a war are usually covered by a builder's risk policy. All of the following statements are TRUE, except one. Which one? - Answers A replacement value equipment floater policy is the least expensive form of such a policy. All of the following statements are TRUE, except one. Which one? - Answers If the prime contractor purchases a surety bond, the obligee will always be the owner. All of the following statements are TRUE, except one. Which one? - Answers A mechanics bond