PC Contract and Project Management 2

Question 1

A contractor receives a change order request that would add $12,000 to the contract. The owner asks the contractor to begin work immediately before signing the change order. What is the most prudent course of action?

Accepted Answer

Refuse work until the signed change order is received

Answer

Work should never begin on changed scope without a signed change order, as verbal agreements are difficult to enforce and payment may be disputed.

Question 2

Which contract clause typically allows the owner to order changes to the scope of work without voiding the contract?

Accepted Answer

Changes clause

Answer

A changes clause (or changes in work clause) gives the owner the right to direct changes within the general scope without invalidating the contract.

Question 3

On a lump-sum electrical contract, the contractor discovers that the specifications contain an error that increases material costs by $8,000. Who typically bears this cost?

Accepted Answer

The owner, as errors in their provided documents are their responsibility

Answer

When the owner provides defective specifications, the owner bears responsibility for resulting cost increases under the Spearin Doctrine.

Question 4

A project schedule shows a total float of zero on the critical path. What does this indicate?

Accepted Answer

Any delay on critical path activities will delay project completion

Answer

Zero total float on the critical path means any delay to those activities will directly delay the project's completion date.

Question 5

Under a unit price contract for electrical conduit installation, which party bears the risk of quantity variations?

Accepted Answer

The owner, because total cost changes with actual quantities installed

Answer

Under unit price contracts, the owner bears the risk of quantity variations since payment is based on actual quantities measured in the field.

(PC) Professional Electrical Contractor Practice Test

(PC) Professional Electrical Contractor Practice Test

PC Contract and Project Management 2