Business and Finance Exam two
All of the following are normally required for a loan application. - answerBGA 317
According to BGA, the only reasonable way to assign overhead is in proportion to what?
- answerDirect labor hours
BGA 228
Previously unrecognized error or omission in the contract documents resulted in
damages on a project. According to AIA-A201, the contractor is; - answernot liable to
the architect or the owner
AIA 201, 3.2.3
CPM and PERT are methods of construction ___________. - answerScheduling
CM 10-57
According to AIA-A401, when must the contractor make good on such deficiencies? -
answerIf the contractor fails within five business days after receipt of written notice from
the contractor to commence and continue correction of such default or neglect.
AIA 4O1, 3.5
According to the CM, the square footage method of estimating is not recommended for
_______________. - answerCost-plus contracts
CM 10-12
What is it mean by discounts on a loan? - answera one time charge made as a
percentage of a loan normally deducted from the amount of the loan
CM 3-74
To become valid a change order must be signed by the __________. - answerArchitect,
owner, and contractor
AIA 201, 15.1.3.1
A change order is issued which changes the quantities of a material covered by a unit
price in the original contract. According to AIA-A201, what price adjustment, is any can
be made? - answerthe unit price can be adjusted equitably in either the contractor or
owners favor
AIA 201, 9.1.2
What portion of the contract documents consist of the written requirements for
materials, equipment, construction systems, standards and workmanship for the work,
and performance or related services? - answerspecifications
, AIA 201, 1.16
What can a contractor determine at the beak even-point? - answerthe least amount of
sales needed to break even, assuming costs and expenses remain reasonably
constant.
178,179 BGA
A contractor computes the percentage of gross profit to sales volume over a number of
months. The contractor finds that gross profit is decreasing in relationship to sales. Of
the factors listed below, which is most likely explanation? - answerA) not enough
volume of work
B) sales prices are too high
C) lack of control costs
D) material thefts are decreasing
C 272 BGA
A contractor will complete a project in 2 years. At the end of the first year, annual gross
receipts were $8,500,000. What is the amount that the gross receipts for the second
year cannot equal or exceed in order to use completed contract method of accounting?
- answer10,000,000
BGA 25
According to AIA-A201, all the following could be cause for an architect to withhold
certification of payment except _________________. - answerdamage done by the
owner to the contractor
AIA 201, 9.5.1
According to BGA, which accounting method is the most acceptable for recording
income and expenses for large jobs, which last longer than one tax year? -
answerPercentage of completion
BGA 25,26,32
A subcontract has a ''standard form of agreement between contractor and
subcontractor'' with the prime contractor on a project. The subcontractor can terminate
the contract in each situation ....... question 27 - answerAIA 401
14.1
When a change order (which is not construction change directive or a minot change) is
issued, who must sign it? - answerthe contractor,owner, and architect
AIA 201, 7.2.1
Billings that have been mailed out by a firm, but for which payment has not been made,
are called ___________. - answerReceivable
BGA 43-46
All of the following are normally required for a loan application. - answerBGA 317
According to BGA, the only reasonable way to assign overhead is in proportion to what?
- answerDirect labor hours
BGA 228
Previously unrecognized error or omission in the contract documents resulted in
damages on a project. According to AIA-A201, the contractor is; - answernot liable to
the architect or the owner
AIA 201, 3.2.3
CPM and PERT are methods of construction ___________. - answerScheduling
CM 10-57
According to AIA-A401, when must the contractor make good on such deficiencies? -
answerIf the contractor fails within five business days after receipt of written notice from
the contractor to commence and continue correction of such default or neglect.
AIA 4O1, 3.5
According to the CM, the square footage method of estimating is not recommended for
_______________. - answerCost-plus contracts
CM 10-12
What is it mean by discounts on a loan? - answera one time charge made as a
percentage of a loan normally deducted from the amount of the loan
CM 3-74
To become valid a change order must be signed by the __________. - answerArchitect,
owner, and contractor
AIA 201, 15.1.3.1
A change order is issued which changes the quantities of a material covered by a unit
price in the original contract. According to AIA-A201, what price adjustment, is any can
be made? - answerthe unit price can be adjusted equitably in either the contractor or
owners favor
AIA 201, 9.1.2
What portion of the contract documents consist of the written requirements for
materials, equipment, construction systems, standards and workmanship for the work,
and performance or related services? - answerspecifications
, AIA 201, 1.16
What can a contractor determine at the beak even-point? - answerthe least amount of
sales needed to break even, assuming costs and expenses remain reasonably
constant.
178,179 BGA
A contractor computes the percentage of gross profit to sales volume over a number of
months. The contractor finds that gross profit is decreasing in relationship to sales. Of
the factors listed below, which is most likely explanation? - answerA) not enough
volume of work
B) sales prices are too high
C) lack of control costs
D) material thefts are decreasing
C 272 BGA
A contractor will complete a project in 2 years. At the end of the first year, annual gross
receipts were $8,500,000. What is the amount that the gross receipts for the second
year cannot equal or exceed in order to use completed contract method of accounting?
- answer10,000,000
BGA 25
According to AIA-A201, all the following could be cause for an architect to withhold
certification of payment except _________________. - answerdamage done by the
owner to the contractor
AIA 201, 9.5.1
According to BGA, which accounting method is the most acceptable for recording
income and expenses for large jobs, which last longer than one tax year? -
answerPercentage of completion
BGA 25,26,32
A subcontract has a ''standard form of agreement between contractor and
subcontractor'' with the prime contractor on a project. The subcontractor can terminate
the contract in each situation ....... question 27 - answerAIA 401
14.1
When a change order (which is not construction change directive or a minot change) is
issued, who must sign it? - answerthe contractor,owner, and architect
AIA 201, 7.2.1
Billings that have been mailed out by a firm, but for which payment has not been made,
are called ___________. - answerReceivable
BGA 43-46
