ORDRE DES INGNIEURS DU QUBEC

NOVEMBER 2014 SESSION

All documentation is permitted
Calculators: allowed models only
Exam duration: 3 hours

14-CI-A7 BUILDING CONSTRUCTION MANAGEMENT

Question 1 (4 points)
List and briefly describe the ways projects may be terminated.

Question 2 (6 points)
What are the advantages of top-down budgeting and of bottom-up budgeting? What is the
most important task for top management to do in bottom-up budgeting?

Question 3 (5 points)
When might a firm choose to reduce a project? What factors must be considered in making this
decision?

14-CI-A7 Building Construction Management November 2014

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Question 4 (20 points)

Project crashing
Your company is committed to deliver a project, whose schedule is shown below, in 41 days considered
as the normal duration of the project.
D
31 34
7

19

0
1

A
7

7
2

12 12
3

21 21
4

29 29
5

G
5

H
6

I
7

41 41
10

33 34

22 23

10

34 34

11

The contract do not contains any bonus-penalty clause. Fixed overhead costs are $ 500 (at the beginning
of the project). Variable overheads are $ 800 / day.
Table 1 shows for each activity, the normal and compressed durations and direct costs. Taking account of
these data:
Calculate the minimal duration of the project. (8 points)
Draw the "Direct Cost / Time" curve for this project. (3 points)
Draw the "Indirect Cost / Time" curve for this project. (4 points)
Taking into account the direct and the indirect costs, draw the "Total Cost / Time" curve. (3
points)
Determine the optimum duration to complete this project and the relative cost of this duration.
(2 points)
Table 1
Normal
Activity

Duration

A
B
C
D
E
F
G
H
I
TOTAL

7
5
9
19
10
8
5
11
7

14-CI-A7 Building Construction Management November 2014

Compressed
Cost

3 600$
5 500$
6 350$
4 700$
2 050$
1 200$
7 200$
9 450$
4 500$
44 550$

Duration
6
3
7
18
9
6
5
10
6

Cost
3 900$
6 500$
7 200$
4 900$
2 200$
1 700$
7 200$
10 000$
4 700$

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Question 5 (20 points)

Using the data in Table 2, draw the AOA diagram (Activity-On-Arrow) and indicate the critical
path.
Indicate the Early Start (ES), the Early Finish (EF), the Late Start (LS), the Late Finish (LF), the
total Float (TF), and the Free Float (FF).
Table 2

ACTIVITY

DURAT
ION

G
H
I
J
K
L
M
N
O
P
R
S

7
10
4
5
4
5
8
3
12
4
7
8

PREDECESSOR

None
G
G
G
H
H, I
J
I, M
K, L, N
L, N
L, N
R

Question 6 (10 points)

In order to perform the earthworks of a highway construction project, the estimator must
adequately establish the dimensions of cuts and fills. The volumes to be calculated are often
irregular geometric shapes, forcing the estimator to use specific methods of calculation.
a. Describe why the method of cross sections is well suited for this type of work. (4 points)
b. Explain this method using the necessary illustrations (plan view, longitudinal and crosssections) and formulas. (6 points)

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Question 7 (20 points)

Prepare a fixed price bid for the project described below; include the works performed by the
general contractor and the subcontractors.
Considering that:
a) Losses are 2 m for the concrete and 2% for the masonry blocks.
b) Choose the lowest bidder, if not, give a valid reason.
c) Use an analysis matrix in order to select the subcontractors.
d) The indirect costs of construction are $ 15000.
e) The company charges 15% for the administrative costs and profits.
f) Goods and Services Tax (GST) at the rate of 5% on the sale price.
g) The Quebec sales tax (QST) at the rate of 9.975% on the sale price excluding GST.
The work performed by the general contractor
Section / Activity

Quantity

Cost

3100 - Formwork (all inclusive)

Columns' Footings
Foundation walls
Columns
Structural slabs

70,00 m2
240,00 m2
160,00 m2
400,00 m2

3210 - Reinforcing steel supplying and preparing

45,00 $/ m2
50,00 $/ m2
65,00 $/ m2
55,00 $/ m2
1400,00 $/ t

3220 - Placing of Reinforcing steel (labor only)

Columns' Footings
Foundation walls
Columns
Structural slabs

0,6 tonne
1,6 tonne
1,1 tonne
7,8 tonnes

15,00 $/ t
20,00 $/ t
25,00 $/ t
20,00 $/ t
80,00 $/m3

3310 - Concrete 30 MPA supplying

3320 - Pouring concrete (labor only)
Columns' Footings
Foundation walls
Columns
Structural slabs
4000 - Masonry blocks

14-CI-A7 Building Construction Management November 2014

15,00 m3
20,00 m3
10,00 m3
65,00 m3

10,00 $/ m3
15,00 $/ m3
20,00 $/ m3
15,00 $/ m3

700,00 m2

40,00 $/ m2

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Submissions received by the subcontractors

Mtallo
For supplying all the metal frames and doors according to section "8100-a" for the amount of
$ 34 000.
Pierre Inc.
To provide all materials, labor and necessary equipments to perform all the work of supplying
and installation of metals frames and doors in accordance to the sections "8100-a" and
"8100 b-. All for the amount of $ 60,000.
Poignes Inc.
For supplying the doors hardwares, according to section "8700" for the amount of $ 20 000.
Les Portes Inc.
To provide all materials, labor and necessary equipment to perform all the work of installation
of metals frames and doors in accordance to the section "8100-b". All for the sum of $ 21 500.
Alpha mtal.
To provide all materials, labor and necessary equipment to perform all the work of supplying
and installation of wood doors in accordance to the sections "8300-a" and "8300-b. All for the
amount of $ 49 500.
Alumino Inc.
To provide all materials, labor and necessary equipment to perform all the work of supplying
and installation of aluminium windows in accordance to the sections "8520-a" and "8520-b". All
for the amount of $ 40 000.
Candela Inc.
To provide all materials, labor and necessary equipment to perform all the work of supplying
and installation of metals frames and doors in accordance to the section "8100-a" and "b-8100";
wood doors in accordance to the sections "8300-a" and "8300-b"; aluminium windows in
accordance to the section " 8520-a" and "8520-b"; doors hardwares, in accordance to the
section "8700". All for the amount of $ 176 000.
At the last minute, you received the following information: Poignes Inc. increased its price by
$ 10 000. Do remedial work.

We ask you to:

1. Calculate the cost of work performed by the general contractor.

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2. Calculate a combined cost for each of the following specialties:

- 3100 - Formwork
- 3210/3220 - Reinforcing steel supplying, preparing and placing
- 3310/3320 - Supplying and pouring Concrete
3. Calculate a combined cost for each of the following elements:
- Columns' Footings
- Foundation walls
- Columns
- Structural slabs
4. Calculate the cost of work to be performed by the subcontractors.
5. Calculate the total cost of your lump-sum submission including indirect costs,
administrative costs, profits and taxes.

Question 8 (15 points)

A 5-storey hotel with a total area of 8400 m2 and a capacity of 120 rooms, cost
$ 12 552 000.00 $ in 2005.
a.
b.
c.
d.

Determine the unit cost in 2005, using the method of floor area. (3 points)
What will be the probable cost of construction if the total area was 6500 m2? (4 points)
Determine the unit cost in 2005, using the method of the destination unit. (4 points)
Considering an annual inflation rate of 3%, calculate the probable cost of construction
for an 8-storey hotel with a capacity of 30 rooms per floor, which will be realized in
2015? (4 points)

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