CM 4221 FINAL QUESTIONS & ANSWERS
An expressed warranty is a written document that details the terms and the length of
time of a performance warranty - Answer -True
There is a 40% chance that you will experience 'unforeseen site conditions' on your
project. When there are unforeseen site conditions, the average increase in foundation
cost is $20,000. If you plan to allocate risk of unforeseen site condition to the foundation
subcontractor, how much would you expect them to inflate their bid? - Answer -$8000
Which of the following is a category or element of the balance sheet? - Answer -
Liabilities
A temporary certificate of occupancy states an expiration date - Answer -True
Waivers of lien are collected from the general contractor and the subcontractors and are
provided to the owner after accepting the work for final acceptance - Answer -False
Earned value incorporates scope, and schedule into various methods of evaluating
project performance. - Answer -False
Quality assurance is the actions and considerations necessary to assess and adjust
production and construction process so as to control the level of quality being produced
in the end product - Answer -False
Bulk materials are materials that are delivered in small quantities and deposited into a
container at the construction site - Answer -False
Which one of the following is a tool for managing risks? - Answer -All of the above
A highway asphalt contractor is considering purchasing a new fleet of three Caterpillar
AP355F Pavers, which cost $145,000 each brand new in 2016. The contractor expects
to use the new fleet for at least 10 years. The expected salvage value of each paver at
the end of 10 years is $35,000. What is the yearly depreciation expense for all three
AP355F Pavers? - Answer -$33000
Which of the following is an example of a short-term liability? - Answer -Taxes
Which of the following items does not need to be reviewed or considered when
performing a site investigation visit for a new building project prior to bidding a project? -
Answer -All of these should be reviewed and considered when performing a site
investigation
What is the debt to worth ratio? - Answer -0.65
An expressed warranty is a written document that details the terms and the length of
time of a performance warranty - Answer -True
There is a 40% chance that you will experience 'unforeseen site conditions' on your
project. When there are unforeseen site conditions, the average increase in foundation
cost is $20,000. If you plan to allocate risk of unforeseen site condition to the foundation
subcontractor, how much would you expect them to inflate their bid? - Answer -$8000
Which of the following is a category or element of the balance sheet? - Answer -
Liabilities
A temporary certificate of occupancy states an expiration date - Answer -True
Waivers of lien are collected from the general contractor and the subcontractors and are
provided to the owner after accepting the work for final acceptance - Answer -False
Earned value incorporates scope, and schedule into various methods of evaluating
project performance. - Answer -False
Quality assurance is the actions and considerations necessary to assess and adjust
production and construction process so as to control the level of quality being produced
in the end product - Answer -False
Bulk materials are materials that are delivered in small quantities and deposited into a
container at the construction site - Answer -False
Which one of the following is a tool for managing risks? - Answer -All of the above
A highway asphalt contractor is considering purchasing a new fleet of three Caterpillar
AP355F Pavers, which cost $145,000 each brand new in 2016. The contractor expects
to use the new fleet for at least 10 years. The expected salvage value of each paver at
the end of 10 years is $35,000. What is the yearly depreciation expense for all three
AP355F Pavers? - Answer -$33000
Which of the following is an example of a short-term liability? - Answer -Taxes
Which of the following items does not need to be reviewed or considered when
performing a site investigation visit for a new building project prior to bidding a project? -
Answer -All of these should be reviewed and considered when performing a site
investigation
What is the debt to worth ratio? - Answer -0.65
