CM 4211 midterm questions with verified
answers
Scope of Work is a description of which of the following. Select all that apply.
Ans✓✓-The list of construction obligations, as well as work activities that all
contractors, subcontractors, and suppliers are obligated to do
What is the next step in the construction contract process after the contract has
been drafted and reviewed by all parties? Ans✓✓-A.
Negotiations
Select the best definition for General Contractor. Ans✓✓-The company or
individual responsible for overseeing the construction process and managing any
subcontractors, if applicable
There is no difference between lump sum and fixed price. Ans✓✓-True
What is a Guaranteed Maximum Price contract? Ans✓✓-The maximum amount
the owner will have to pay the contractor is capped and is not to exceed
Safety awards for no injuries, fast-tracking, and zero-quality defects are possible
examples of incentives in a unit price contract. Ans✓✓-False
What does contract termination mean? Ans✓✓-When either party can legally
terminate the contract and any penalties that may apply to the decision to
terminate
,Of the three contracts LS, LSTK, and GMP, which once affords the most protection
financially and allows the owner to secure investors and loans? Ans✓✓-GMP
What are examples of construction contract clauses for escalation? Ans✓✓-
(A.Fuel and gas
B.Construction materials and equipment
C.Steel)
All of these answers
Who is responsible for selecting and managing the sub-contractor on a project?
Ans✓✓-Prime/General Contractor
The right to subcontract any project work has to be outlined by which of the
following. Select all that apply. Ans✓✓-The contract
The advantage of cost plus is that the Prime Contractor will incur a profit.
Ans✓✓-True
Select the best definition for Owner. Ans✓✓-The individual or company hiring the
general contractor and entering into the contract to have construction work done
Negotiating a contract with no compromise can affect which of the following.
Ans✓✓-Delay the start date
A construction contract is an agreement that is between the OWNER and which of
the following. Ans✓✓-Prime/General Contractor
, The Prime Contractor can terminate its contract when the owner is in breach of
contract or acting in bad faith. Ans✓✓-True
You can have a multiple-contract method under one project. Ans✓✓-True
What does Indemnification mean? Ans✓✓-The responsibility of the contractor
for any damages or loss incurred by the owner due to the work of the contractor
What are examples of contract documents? Ans✓✓-(A. Scope of Work
B.Technical specifications
C.Blueprints
D.Design drawings)
All of these answers
The advantages of Time and Material contracts consist of which of the following.
Select all that apply. Ans✓✓-(a.Helps budget overall costs
b.Reduce risk to Prime Contractor of fluctuating material and labor cost
c.Reduces cost-cutting methods by the owner
d.Incurs a known profit to the Prime Contractor)
All the above
What is a Design Bid Build contract? Ans✓✓-A traditional construction project
delivery method that involves the completion of three distinct phases in sequence
Timeline is defined by which of the following. Select all that apply. Ans✓✓-Both-
start date and finish date
answers
Scope of Work is a description of which of the following. Select all that apply.
Ans✓✓-The list of construction obligations, as well as work activities that all
contractors, subcontractors, and suppliers are obligated to do
What is the next step in the construction contract process after the contract has
been drafted and reviewed by all parties? Ans✓✓-A.
Negotiations
Select the best definition for General Contractor. Ans✓✓-The company or
individual responsible for overseeing the construction process and managing any
subcontractors, if applicable
There is no difference between lump sum and fixed price. Ans✓✓-True
What is a Guaranteed Maximum Price contract? Ans✓✓-The maximum amount
the owner will have to pay the contractor is capped and is not to exceed
Safety awards for no injuries, fast-tracking, and zero-quality defects are possible
examples of incentives in a unit price contract. Ans✓✓-False
What does contract termination mean? Ans✓✓-When either party can legally
terminate the contract and any penalties that may apply to the decision to
terminate
,Of the three contracts LS, LSTK, and GMP, which once affords the most protection
financially and allows the owner to secure investors and loans? Ans✓✓-GMP
What are examples of construction contract clauses for escalation? Ans✓✓-
(A.Fuel and gas
B.Construction materials and equipment
C.Steel)
All of these answers
Who is responsible for selecting and managing the sub-contractor on a project?
Ans✓✓-Prime/General Contractor
The right to subcontract any project work has to be outlined by which of the
following. Select all that apply. Ans✓✓-The contract
The advantage of cost plus is that the Prime Contractor will incur a profit.
Ans✓✓-True
Select the best definition for Owner. Ans✓✓-The individual or company hiring the
general contractor and entering into the contract to have construction work done
Negotiating a contract with no compromise can affect which of the following.
Ans✓✓-Delay the start date
A construction contract is an agreement that is between the OWNER and which of
the following. Ans✓✓-Prime/General Contractor
, The Prime Contractor can terminate its contract when the owner is in breach of
contract or acting in bad faith. Ans✓✓-True
You can have a multiple-contract method under one project. Ans✓✓-True
What does Indemnification mean? Ans✓✓-The responsibility of the contractor
for any damages or loss incurred by the owner due to the work of the contractor
What are examples of contract documents? Ans✓✓-(A. Scope of Work
B.Technical specifications
C.Blueprints
D.Design drawings)
All of these answers
The advantages of Time and Material contracts consist of which of the following.
Select all that apply. Ans✓✓-(a.Helps budget overall costs
b.Reduce risk to Prime Contractor of fluctuating material and labor cost
c.Reduces cost-cutting methods by the owner
d.Incurs a known profit to the Prime Contractor)
All the above
What is a Design Bid Build contract? Ans✓✓-A traditional construction project
delivery method that involves the completion of three distinct phases in sequence
Timeline is defined by which of the following. Select all that apply. Ans✓✓-Both-
start date and finish date
