Mange the Contract Lifecycle Effectively PMI-CP Practice Questions (Page 7)

Questions 31–34

1. 31application · medium

   A private developer is building a mixed-use tower. They want to minimize their own administrative burden and avoid disputes over change orders. They are willing to pay a premium for certainty. Which contract structure is most appropriate?

   • AUnit price with estimated quantities
   • BLump sum with detailed specifications
   • CCost-plus with a fixed fee
   • DCost-plus with a percentage fee
   Reveal Solution Discussion Select an answer first
2. 32expert · hard

   A developer is comparing design-bid-build and design-build for a new office building. They are concerned about the risk of cost overruns and want to know which method gives them more cost certainty. They also want to maintain some control over the design. What is the most accurate advice?

   • ADesign-build with a GMP provides more cost certainty but less design control than design-bid-build
   • BBoth methods provide the same level of cost certainty
   • CDesign-bid-build provides more cost certainty because the design is complete before bidding
   • DDesign-build provides more design control because the contractor is responsible for design
   Reveal Solution Discussion Select an answer first
4. 33foundation · easy

   In a built environment contract, which clause is designed to address unforeseen conditions such as contaminated soil or hidden utilities?

   • ALiquidated damages clause
   • BDiffering site conditions clause
   • CForce majeure clause
   • DIndemnification clause
   Reveal Solution Discussion Select an answer first
5. 34application · medium

   A public agency is procuring a new courthouse. The design is 60% complete and the agency wants to bring the contractor on board early to provide constructability input and to share risk on cost overruns. They also want a single point of responsibility for the completed facility. Which delivery method and contract structure best meets these needs?

   • ADesign-bid-build with a cost-plus contract
   • BConstruction Manager at Risk (CMAR) with a guaranteed maximum price (GMP)
   • CDesign-bid-build with a lump sum contract
   • DDesign-build with a cost-plus contract
   Reveal Solution Discussion Select an answer first