CM 2215 EXAM REVISION QUESTIONS AND
100% CORRECT ANSWERS!!
What makes engineering economic decisions difficult?
estimating
Depreciation occurs over a series of year for:
heavy equipment
What is the best source of getting operating costs of the same or similar equipment?
historical records
Equipment and operating costs are second to this as far as unpredictability
labor
These can be used to obtain operating costs when lacking historical data
Manufacturer manuals
"A nearby dollar is worth more than a distant dollar"
Principle 1
Maintenance and repair, tires, fuel, service, downtime, and operator salary are all what
type of costs? They are incurred only when the equipment is in use
Operating costs
Depreciation, interest, taxes, insurance, storage, and license fees are all what type of costs?
(cost of owning, leasing, or renting he equipment)
Ownership costs
To be successful, a contractor must be able to _____ the cost of doing a task and then _____
the cost of doing that task
Predict, control
, Project plans and specs are used to determine the _____ of work
quantity
Measures the quantity of work to be performed
quantity take-off
Number of people killed each day annually
17
Number of people injured each day
24,000
Directly associated with a specific event, easily identified and counted, and those that are
paid by insurance
Direct costs of injuries
time lost from work, loss of earning power, economic loss to injured family, lost time by
fellow workers, loss of efficiency
indirect causes of injury
average cost, fixed multiplier, sliding ratio
methods of calcuating indirect cost
the smaller the indirect cost, the _____ the multiplyer
higher
payroll, basic rate, experience modification rating (EMR)
WC premium factors
Manual premium
SIC
NAICS
Workers comp premiums
100% CORRECT ANSWERS!!
What makes engineering economic decisions difficult?
estimating
Depreciation occurs over a series of year for:
heavy equipment
What is the best source of getting operating costs of the same or similar equipment?
historical records
Equipment and operating costs are second to this as far as unpredictability
labor
These can be used to obtain operating costs when lacking historical data
Manufacturer manuals
"A nearby dollar is worth more than a distant dollar"
Principle 1
Maintenance and repair, tires, fuel, service, downtime, and operator salary are all what
type of costs? They are incurred only when the equipment is in use
Operating costs
Depreciation, interest, taxes, insurance, storage, and license fees are all what type of costs?
(cost of owning, leasing, or renting he equipment)
Ownership costs
To be successful, a contractor must be able to _____ the cost of doing a task and then _____
the cost of doing that task
Predict, control
, Project plans and specs are used to determine the _____ of work
quantity
Measures the quantity of work to be performed
quantity take-off
Number of people killed each day annually
17
Number of people injured each day
24,000
Directly associated with a specific event, easily identified and counted, and those that are
paid by insurance
Direct costs of injuries
time lost from work, loss of earning power, economic loss to injured family, lost time by
fellow workers, loss of efficiency
indirect causes of injury
average cost, fixed multiplier, sliding ratio
methods of calcuating indirect cost
the smaller the indirect cost, the _____ the multiplyer
higher
payroll, basic rate, experience modification rating (EMR)
WC premium factors
Manual premium
SIC
NAICS
Workers comp premiums
