UMASS BCT 353 NEWEST ACTUAL FINAL EXAM WITH
COMPLETE QUESTIONS AND ANSWERS / GRADED
A+/VERIFIED
What is the five-step process of initiating a project?
1. Advertise, 2. Bid opening, 3. Award contract, 4. Sign Contract,
5. Notice to proceed
Who establishes the need for a new construction project?
a) owner
b) Contractor
c) Architect
d) Engineer
a) Owner
Measurement of completed units on site is the basis for
payment in unit price contracts.
True
or
False
True
Page 1 of 33
,An advantage of the design/build approach is that construction
can begin before design is 100% complete..
True
or
False
True
When assessing the risks applicable to a project, one must
also look to the owner organization and the manner in which
decision-making occurs.
True
or
False
True
Which of the following is not a valid attribute of a
proprietorship?
a) No separation between individual and firm assets
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,b) no separate taxation of the company
c) creditors cannot come after personal property of the owner
d) credit is limited by personal assets of the owner
c) creditors cannot come after personal property of the owner
Which of the following legal forms of business organizations is
perpetual?
a) Sole Proprietorship
b) Corporation
c) Partnership
d) All of the above
b) Corporation
In which delivery method is the construction administrator
most like a consultant?
a) Integrated project delivery
b) Construction Management at risk
c) Construction Management agency
d) Lump sum
c) Construction Management agency
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, Which of the following contract types is generally considered
to have the most risk for the contractor?
a) lump sum
b) cost plus
c) cost plus with GMP
d) unit price
a) lump sum
The contractor has a lump sum contract for $5 million. The
actual cost is $4.6 million. The owner should
a) Start a new negotiation
b) Pay the contractor $5 million
c) Pay the contractor $4.6 million
d) Split the difference: Pay the contractor $4.8 million
b) Pay the contractor $5 million
In the construction industry, which legal entity is often a
temporary arrangement?
joint venture
sole proprietorship
limited liability corporation
Page 4 of 33
COMPLETE QUESTIONS AND ANSWERS / GRADED
A+/VERIFIED
What is the five-step process of initiating a project?
1. Advertise, 2. Bid opening, 3. Award contract, 4. Sign Contract,
5. Notice to proceed
Who establishes the need for a new construction project?
a) owner
b) Contractor
c) Architect
d) Engineer
a) Owner
Measurement of completed units on site is the basis for
payment in unit price contracts.
True
or
False
True
Page 1 of 33
,An advantage of the design/build approach is that construction
can begin before design is 100% complete..
True
or
False
True
When assessing the risks applicable to a project, one must
also look to the owner organization and the manner in which
decision-making occurs.
True
or
False
True
Which of the following is not a valid attribute of a
proprietorship?
a) No separation between individual and firm assets
Page 2 of 33
,b) no separate taxation of the company
c) creditors cannot come after personal property of the owner
d) credit is limited by personal assets of the owner
c) creditors cannot come after personal property of the owner
Which of the following legal forms of business organizations is
perpetual?
a) Sole Proprietorship
b) Corporation
c) Partnership
d) All of the above
b) Corporation
In which delivery method is the construction administrator
most like a consultant?
a) Integrated project delivery
b) Construction Management at risk
c) Construction Management agency
d) Lump sum
c) Construction Management agency
Page 3 of 33
, Which of the following contract types is generally considered
to have the most risk for the contractor?
a) lump sum
b) cost plus
c) cost plus with GMP
d) unit price
a) lump sum
The contractor has a lump sum contract for $5 million. The
actual cost is $4.6 million. The owner should
a) Start a new negotiation
b) Pay the contractor $5 million
c) Pay the contractor $4.6 million
d) Split the difference: Pay the contractor $4.8 million
b) Pay the contractor $5 million
In the construction industry, which legal entity is often a
temporary arrangement?
joint venture
sole proprietorship
limited liability corporation
Page 4 of 33
