CPE Value Engineering & Cost Optimization Flashcards
6 cards from real CPE practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 CPE Value Engineering & Cost Optimization flashcards as text
Life cycle costing (LCC) in estimating considers which of the following beyond initial construction cost?
Answer: First cost plus maintenance, operations, and disposal costs
LCC captures total ownership cost including initial construction, ongoing operations and maintenance, and eventual disposal or replacement costs.
A VE proposal saves $50,000 in material cost but adds $15,000 in engineering review fees. What is the net VE savings?
Answer: $35,000
Net VE savings = gross savings minus implementation costs: $50,000 - $15,000 = $35,000.
Which design element is most commonly targeted by value engineering in concrete construction?
Answer: Formwork system selection
Formwork can represent 40–60% of concrete structure cost, making it the highest-impact VE target for concrete work.
What is 'constructability review' in the context of cost optimization?
Answer: An analysis of how design decisions affect ease and cost of construction
Constructability review evaluates designs from a field-construction perspective to identify sequencing, access, or method issues that would increase cost.
When a CPE estimator identifies a 'cost driver,' what have they found?
Answer: A single element that contributes disproportionately to total project cost
A cost driver is a work item or design feature that significantly controls overall project cost and therefore deserves priority attention in VE efforts.
Which of the following best describes a 'should-cost' estimate?
Answer: An independent estimate of what a component ought to cost based on labor, material, and overhead
A should-cost estimate is a bottom-up analysis of what work should reasonably cost, used to evaluate bid fairness or identify over-priced components.