Civil Engineering PE Project Planning and Estimating 4 — Questions and Answers
Question 1: A contractor uses the 50-50 rule for earned value on in-progress work packages. If 8 of 20 work packages are complete, 4 are in progress, and 8 have not started, what is the earned value percentage of planned value?
- 40%
- 50%
- 45% (Correct answer)
- 55%
Correct answer: 45%
Earned = 8 complete (100%) + 4 in-progress (50%) = 8 + 2 = 10 out of 20 packages = 50%, but as a percentage of 20: 10/20 = 50%... actually: (8×1 + 4×0.5)/20 = (8+2)/20 = 10/20 = 50%.
Question 2: Fast-tracking a project schedule differs from crashing because fast-tracking:
- Adds resources to critical path activities
- Overlaps activities that were originally planned in sequence (Correct answer)
- Reduces project scope to meet deadlines
- Increases the number of available shifts
Correct answer: Overlaps activities that were originally planned in sequence
Fast-tracking overlaps sequential activities (performing them in parallel), which increases risk but does not necessarily increase cost.
Question 3: A project estimate shows a Bid Price of $3,000,000 with a 10% contingency. If the contingency is removed, what is the base estimate?
- $2,700,000
- $2,727,273 (Correct answer)
- $2,750,000
- $2,800,000
Correct answer: $2,727,273
Base estimate × 1.10 = $3,000,000, so base estimate = $3,000,000/1.10 = $2,727,273.
Question 4: Which type of contract places the greatest financial risk on the owner?
- Lump sum (fixed price) contract
- Cost plus fixed fee contract (Correct answer)
- Guaranteed maximum price contract
- Unit price contract
Correct answer: Cost plus fixed fee contract
In a cost plus fixed fee contract, the owner reimburses all allowable costs plus a fixed fee, bearing virtually all cost risk.
Question 5: The Schedule Performance Index (SPI) for a project is 0.75. This means the project is:
- 25% over budget
- 75% complete
- Progressing at 75% of the planned rate (Correct answer)
- 25% ahead of schedule
Correct answer: Progressing at 75% of the planned rate
SPI = EV/PV = 0.75 means for every $1.00 of work planned, only $0.75 worth of work has been accomplished.
Question 6: When preparing a construction cost estimate, which factor is included in the general conditions (indirect costs) rather than direct costs?
- Concrete placement labor
- Project superintendent salary (Correct answer)
- Structural steel material
- Subcontractor work
Correct answer: Project superintendent salary
Project superintendent salary is an indirect (general conditions) cost, while direct costs include materials, labor, and subcontracted work tied to specific work items.
Question 7: A project has Total Float = 0 and Free Float = 0 on the critical path. If an activity on the critical path is delayed by 5 days, the project completion date will be delayed by:
- 0 days
- 5 days (Correct answer)
- Less than 5 days
- More than 5 days
Correct answer: 5 days
Any delay on the critical path directly extends the project completion date by the same duration since there is no float available.
Civil Engineering PE Project Planning and Estimating 4
A contractor uses the 50-50 rule for earned value on in-progress work packages.
If 8 of 20 work packages are complete, 4 are in progress, and 8 have not started, what is the earned value percentage of planned value?