Skip to main content

Risk management

How does an owner provide a financial safeguard for the following situations:
- unanticipated price escalation of a particular product
- an architect’s omission of flashing in the construction documents
- a necessary change during construction, modifying the project’s scope.
A. Allowance
B. Alternates
C. Contingency
D. Escalation

AnswerC. Contingency is an amount, usually a percentage, that is part of the project budget to offset changes in the scope of the project, unknown conditions, and gaps/oversights in the documents.

ARE 4.0 exam prep: PPP

Comments

Post a Comment

Try These Too!

Vertical louvers

On which elevations of a building are vertical louvers generally more effective? Select 2 A. East B. South C. West D. North Answer A. East and C. West (answer applies for northern hemisphere) ARE 4.0 exam prep: SPD
Post a Comment
See the answer »

Joint ventures

Which AIA document series includes agreements for joint ventures? A. A-series B. B-series C. C-series D. D-series E. G-series Answer C. C-series covers architect/consultant documents including joint ventures.
Post a Comment
See the answer »

Friction loss

Friction loss or static head in sizing of air ducts is given in this expression of units: A. pounds per square inch B. inches of water per 100 feet C. inches of refrigerant per 100 feet D. inches of water per foot Answer B. inches of water per 100 feet ARE 4.0 exam prep: BS
Post a Comment
See the answer »