Planning & EstimatingCâu 620 / 700
How do an 'allowance' and a 'contingency' differ in a bid?
a.They are identical; both simply cover the contractor's profit.
b.An allowance covers unknown emergencies, while a contingency is a firm price for a selected finish.
c.An allowance is a placeholder dollar amount for a specified item not yet selected (e.g., light fixtures or tile), while a contingency is a reserve for unforeseen conditions or scope uncertainty.
d.A contingency is used only on public works and an allowance only on private jobs.
Giải thích
Correct: an allowance budgets a set dollar amount for an item whose exact product is not yet chosen, and the price is later reconciled to the actual selection; a contingency is a reserve for risks and unknowns that may or may not occur. Neither is 'just profit,' so the first option is wrong. The second option swaps the two definitions. Both tools appear on public and private work, so the last option is wrong.
Luyện miễn phí toàn bộ 700 câu hỏi — không cần đăng ký.
Câu hỏi liên quan cùng chủ đề
- A progress payment application shows $80,000 of work completed this period. The contract allows 10 percent retention. How much should the owner PAY for this period after retention is withheld?
- A grading and utility project has uncertain quantities of rock excavation that cannot be measured accurately until digging begins. Which contract type is BEST suited?
- When is a cost-plus-fee contract MOST appropriate?
- What is the purpose of a bid bond?
- On a bonded public project, what is the distinction between a performance bond and a payment bond?
- On a California public-works project above the applicable threshold, what does the law generally require regarding wages and records?
Cập nhật gần nhất: · quy trình kiểm tra
Đội Ngũ Biên Tập PrepPass · Đối chiếu với California CSLB General Building (B) Trade Examination · Quy trình kiểm tra