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Project Planning and Estimation Flashcards

6 cards from real Renovation Contractors practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 6 Project Planning and Estimation flashcards as text
  1. Which of the following is the best way to handle a discovered unknown condition (e.g., rotted framing) during a renovation?

    Answer: Stop work and issue a written change order before proceeding

    A written change order documents the additional work, cost, and schedule impact, protecting both the contractor and client from disputes over unforeseen conditions.

  2. What is a 'punch list' in renovation contracting?

    Answer: A list of outstanding items or deficiencies to be corrected before final payment

    A punch list is compiled near project completion, itemizing minor deficiencies or incomplete items that must be resolved before the owner releases final payment.

  3. When performing a take-off for flooring, a contractor measures 500 sq ft of room space. Why should they order more than 500 sq ft of material?

    Answer: To account for waste from cuts, pattern matching, and damaged pieces

    A waste factor (typically 10–15%) must be added to flooring take-offs to compensate for cuts, pattern matching, damaged pieces, and odd-shaped areas.

  4. What is the purpose of a 'schedule of values' in a renovation contract?

    Answer: A breakdown of total contract price allocated to each phase or task for billing purposes

    A schedule of values itemizes the contract sum by work category or phase, enabling progress billing by showing how much each portion of the project is worth.

  5. A contractor calculates direct costs of $40,000 and wants a 20% gross profit margin. What should the contract price be?

    Answer: $50,000

    To achieve a 20% gross profit margin, the price = direct costs ÷ (1 – margin), so $40,000 ÷ 0.80 = $50,000.

  6. What is the main risk of using 'square footage pricing' alone for renovation estimates?

    Answer: It ignores specific project conditions that significantly affect actual costs

    Square footage pricing is a rough benchmark; it doesn't account for layout complexity, existing conditions, material quality choices, or site-specific challenges that can drastically change costs.