Question

You receive a bid from Plumbing Contractor A for $25,000. You receive a bid from Plumbing contractor B for $28,000. You tell Contractor B he can have the job if he does it for less than $25,000. This is an example of:

		Bid shopping
		Bid rigging
		Bid bonding
		Bottom-up bidding

You have been invited to bid on a large project by the architect, ABC Design. In reviewing the contract documents, you notice a discrepancy between the drawings and specifications. The discrepancy could result in a significant difference in estimated cost. You should do which of the following:

		Tell no one
		Alert the other bidders to the discrepancy
		Alert the architect to the discrepancy
		Base your bid on the most expensive option

Another name for colluding with competitors is:

		Bid shopping
		Bid rigging
		Bid bonding
		Bottom-up bidding

Which of the following statements is true concerning ethics in construction:

		If it is unethical it must be illegal
		Everyone has the same option of what is ethical in construction
		Just because it is unethical does not mean it is illegal
		None of the above

General contractors have an ethical responsibility to always select the subcontractor with the lowest bid.

True

False

A contractor completes an itemized cost estimate. Then he transfers some of the costs from the end of the schedule to the beginning of the schedule. This is sometimes known as an unbalanced bid. This is also known as:

		Asset management
		Resource leveling
		Time value of money
		Front-end loading

Answer 1

1. Bid shopping

Because bid shopping means by manipulating the contractors GC fills his pockets

2.Alert the architect to the discrepancy

3.bid rigging

Bid rigging occurs when bidders agree among themselves to eliminate condition in the procurement process, there by denying a fair price.

4.if it is unethical it must be illegal

5. True: because General contractors have an ethical responsibility to always select the subcontractor with the lowest bid

6. Front end loading :

The front end loading may also be materially unbalanced due to cost of money that must be paid out early versus over the normal construction of project.

Thank you. Hope you understand. If you have any doubts comment me.