What is the importance of the performance and payment bonds?

Q: Describe the two stages involved in pricing an estimate.

A: Pricing of estimate is defined as the approximate calculation of cost of the project. The…

Q: How can a party share the risk?

A: In a construction project, there are many unforeseen contingencies such as geological conditions,…

Q: What are the three major types of construction bonds? Whyare they required? Name three items that…

A: Construction bonds is a surety bond which is signed between developer firm and contractor firm. It…

Q: How can Some of the risks be transferred to others by contract?

A: The risk management technique in which the risk in a contract for project is transferred from one to…

Q: Explain the Liquidity Index ?

A: Liquidity Index is defined as the relative consistency of a fine grained soil within the original…

Q: When do Finance Failure Risks occur?

A: The financial failure risk is the possibility of losing the money invested on a project or any work,…

Q: How are the bidder's errors interpreted?

A: The Bidder's Error are interpreted in following ways : 1. When the the rates of the bidder's…

Q: Describe the procedure of how partial payments to the contractor is done?

A: Partial payment is also called as progress payments. These payments are based on the percentage of…

Q: What type of insurance protects against legal liability to public?

A: Liability insurance offers protection from claims that result from injury and harm to individuals…

Q: . What are the payment provisions under JCT?

A: JCT Standard Building Contract 2011 payment terms are relatively complex. The system relies on the…

Q: Describe the different types of payments in construction industry

A:

Q: A practice related to construction finance that can be interpreted as unethical is: A. front-loading…

A: There are many practices in the construction which are interpreted as unethical  Bribing…

Q: true/ false 19) Debt financing has the lowest risk for investors. 20) On average, design consumes…

A:

Q: What is Bidder Prequalification?

A: Bidder Prequalification:

Q: What is the Assurance program at the federal project?

A: The federal projects are compulsory allied to the assurance program.The assurance program helps in…

Q: How are A) Risk B) Term Structure and C) Yield Curve related in the mind of a Bond Investor?

A: Brief concept- Bonds- Governments and corporations use bonds to raise funds by borrowing from…

Q: What are the Pre-req of LEED SS credit?

A: Leadership in Energy and Environmental Design (LEED) is a rating system that can to the following…

Q: How can we find asset value after 'a' years in service ?

A: The reduction in the value of an asset after serving a period of time is called depreciation. To…

Q: Is it vital to practise risk management while managing construction or information technology…

A: Risk management is the method of limiting or managing risk. In this process risk is identified and…

Q: What is the Spectrum of Risk?

A: The process of undertaking risks in the construction project to get returns in some certain amount…

Q: Name two types of negotiated contracts and describe themethod of payment and incentive concept.

A: There are two types of negotiated contracts are as follows: 1) Cost+Percent of cost 2) Cost+Fixed…

Q: 16) The amount of money retained by the owner from every invoice, before a payment is made to the…

A: Surplus fund - It is the amount of money that is counted as extra and has been asked to owner by…

Q: How is the force account used as a payment method?

A: Force account is a method of payment used for additional work if the contractor and the State…

Q: How can the Disputes be solved in risk management?

A: Risk management is important for preventing legal disputes.

Q: What are the advantages of Bid Bonds?

A: A bid bond would guarantee the bond owner compensation if the bidder fails to start a project.

Q: What are the typical values of a Performance bonds?

A: A performance bond is also called a contract bond, it is a guaranty bond issued by a bank or an…

Q: How can the measurement for payment be done?

A: The unit of measurement applicable for which payment will be made for facilities of the water system…

Q: What would be the result of failure to agree on change order pricing?

A: A change order is a work that has been removed or attached to the original contract of work, but…

Q: What is the purpose of a price allocation form?

A: The price allocation form is a start to finish list of work item on a project that represent the…

Q: Explain the statement Contractual Allocation of Risks?

A: Risk is defined as term which is used to denote the probability or chances of experiencing any…

Q: What Is the legal significance of a material misrepresentation in an insurance application?

A: Brief concept- Material Misrepresentation- Material Misrepresentation is defined as the deliberate…

Q: Explain the statement 'submittal of evidence insurance'?

A: The proof of valid insurance with an insurance company which is provided to another individual for…

Q: 11. The action or process of reducing or paying off a debt with regular payments. O a. Gradient O b.…

A: Answer : option (d) Amortization is correct. More about amortization is given below.

Q: The lender charges the barrower 1.8% per quarter. Find the equivalent nominal rate of interest.…

A:

Q: What are Stage Payments?

A: A stage payment is also called a schedule of payments, it is a list of dates setting out when…

Q: What are the computerized progress payments?

A: The part of work that has been completed and the partial payment done for that work up to the point…

Q: payees of the order instrument.

A: An order paper, or order instrument, is a negotiable instrument that is payable to a specified…

Q: What are the examples of unit price contracts?

A: The estimated quantities of items and unit prices on the hourly rates, rate per unit work volume…