CMC Estimating Procedures & Pricing Strategies 3 — Questions and Answers
Question 1: During a pre-move survey, a consultant discovers the customer has a grand piano on the second floor with no staircase wide enough for standard removal. What should the consultant do?
- Note the piano as requiring specialized hoisting service and adjust the estimate accordingly (Correct answer)
- Exclude the piano from the estimate and advise the customer to arrange separate transport
- Estimate the piano at standard item rates since all pianos are the same
- Advise the customer the piano cannot be moved under any circumstances
Correct answer: Note the piano as requiring specialized hoisting service and adjust the estimate accordingly
When standard access is unavailable, consultants must note specialized hoisting or rigging requirements and price them as accessorial services in the estimate.
Question 2: A shipper's actual weight at destination is 8,200 lbs but the binding estimate was based on 7,500 lbs. On a binding estimate, how much does the shipper owe?
- The binding estimate amount only, regardless of the higher actual weight (Correct answer)
- The charge based on actual weight of 8,200 lbs
- 110% of the binding estimate amount
- The average of the estimated and actual weight charges
Correct answer: The binding estimate amount only, regardless of the higher actual weight
A binding estimate obligates the mover to the quoted price; the shipper pays the binding amount even when actual weight exceeds the estimate, as long as no additional services were added.
Question 3: What does a 'tariff' represent in the context of a moving company's pricing structure?
- A published schedule of rates, charges, and service terms filed with or available to regulators (Correct answer)
- A surcharge applied only during peak moving season
- A penalty fee charged for canceling a move within 48 hours
- A discount offered to repeat customers
Correct answer: A published schedule of rates, charges, and service terms filed with or available to regulators
A tariff is a carrier's published document outlining all rates, rules, and charges, which serves as the basis for every estimate and invoice.
Question 4: A mover charges an additional $150 flight-of-stairs fee per flight above the first. A customer's items must travel up 3 flights. How much is the stair-carry surcharge?
- $300 (Correct answer)
- $450
- $150
- $600
Correct answer: $300
If the first flight is included and additional flights cost $150 each, 2 additional flights × $150 = $300.
Question 5: Which document must a mover provide to an interstate household goods customer at the time a written estimate is provided?
- 'Your Rights and Responsibilities When You Move' booklet (Correct answer)
- A signed bill of lading
- A certified weight ticket from the previous move
- A notarized inventory list
Correct answer: 'Your Rights and Responsibilities When You Move' booklet
FMCSA requires movers to provide the 'Your Rights and Responsibilities When You Move' publication whenever a written estimate is given for an interstate household goods move.
Question 6: What is the main advantage of performing an in-person visual survey versus a phone estimate for a large interstate move?
- It allows accurate identification of all items, access conditions, and specialty service needs (Correct answer)
- It legally eliminates the customer's right to dispute the final charge
- It automatically converts the estimate into a binding estimate
- It reduces the mover's liability for damaged items
Correct answer: It allows accurate identification of all items, access conditions, and specialty service needs
An in-person survey provides firsthand knowledge of the shipment's scope, access challenges, and special items, resulting in a more accurate estimate and fewer disputes.
Question 7: If a customer's shipment is reweighed at their request and the reweigh shows a lower weight than the origin weigh, which weight is used to calculate the final charge?
- The lower reweigh weight (Correct answer)
- The original origin weight
- The average of the two weights
- The weight shown on the binding estimate
Correct answer: The lower reweigh weight
Under FMCSA regulations, if a reweigh produces a lower weight, the carrier must use the lower weight to calculate the final transportation charges.
CMC Estimating Procedures & Pricing Strategies 3
During a pre-move survey, a consultant discovers the customer has a grand piano on the second floor with no staircase wide enough for standard removal.
What should the consultant do?