CC Estimating and Bidding 3

Question 1

Which document would a contractor use to request clarification on ambiguous plans or specifications before submitting a bid?

Accepted Answer

Request for Information (RFI)

Answer

A Request for Information (RFI) is the formal process a contractor uses to ask the designer or owner for clarification on unclear or conflicting information in the bidding documents.

Question 2

When estimating labor costs, which factor accounts for the fact that workers are not 100% productive every hour they are on site?

Accepted Answer

Labor efficiency or productivity factor

Answer

A labor efficiency or productivity factor adjusts estimated labor hours to account for time spent on breaks, setup, minor delays, and other non-productive activities during the workday.

Question 3

What is 'bid peddling' in the construction industry?

Accepted Answer

A subcontractor lowering their price after the GC wins, to take work from competitors

Answer

Bid peddling is when a subcontractor, after learning the GC won the project using another sub's price, offers a lower price to take that work away from the original subcontractor.

Question 4

Under prevailing wage laws (Davis-Bacon Act), which projects require contractors to pay workers prevailing wages?

Accepted Answer

Federally funded or assisted construction projects over $2,000

Answer

The Davis-Bacon Act requires payment of locally prevailing wages and fringe benefits on federal government construction projects and federally assisted construction contracts exceeding $2,000.

Question 5

In construction estimating, 'labor burden' refers to:

Accepted Answer

Additional costs beyond base wages, such as taxes, insurance, and benefits

Answer

Labor burden includes all costs beyond the worker's base wage, such as payroll taxes (FICA, FUTA), workers' compensation insurance, health benefits, and retirement contributions.

CC - Contractor Certificate Practice Test

CC - Contractor Certificate Practice Test

CC Estimating and Bidding 3