AFSB 152: Simulated Exam 2023 with 100% correct answers

Which one of the following is an advantage of the takeover option? - correct answer The obligee may forgive a delay or liquidated damages. The quality of the plans and specifications can greatly influence three tasks that can determine whether the contractor can successfully perform the work. The three tasks are... - correct answer Estimating, planning, and managing the work to be performed. Eastown Contracting's balance sheet shows $100,000 in cash, $300,000 in accounts receivable, $50,000 in equipment, and $150,000 in accounts payable amounts; the contractor's working capital is - correct answer $250,000. Unlike performance and payment bonds, bid bonds - correct answer May not contain specific penal sums or bond penalties. Underwriter Albert of Smithson Insurance and Surety would be most interested in which one of the following groups of financial statements? - correct answer Balance sheets, income statements, cash flow statements, and supporting notes and schedules for the past three to five years, including interim statements for the current fiscal year and concurrent statements for all indemnitors. Genkins Construction is a general contractor. Because of the highly competitive market in the area surrounding its office, where it typically bids jobs, Genkins began bidding jobs outside its usual territory. Genkins won bids on five projects that are 400 miles west of its normal operating territory in a nearby state. Genkins expects those jobs to continue over the next two years, but development in the area appears promising, so Genkins might bid additional jobs in this new location. Aside from project-specific risk, what other possibility might Genkins consider? - correct answer Genkins might consider opening a regional office in the new region with the expectation of competing for work there on an ongoing basis. Major Office Complex Financial Data 25% Complete Total Contract: Contract price $1,100,000 Estimated price 1,000,000 Estimated gross profit $100,000 Cumulative From Inception: Billings to date $3