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NEW QUESTION # 73
The following question requires your selection of CCC/CCE Scenario 28 (3.7.50.1.7) from the right side of your split screen, using the drop down menu, to reference during your response/choice of responses.
Given a unit price contract between the owner and contractor, each assumes the following:
- A. Bid unit rate, owner quantities are within estimate range
- B. Contractor can perform at or below bid unit rate, owner quantities can exceed estimate range
- C. Bid unit rate, owner quantities can exceed estimate range Contractor can perform above
- D. Contractor can perform at or below bid unit rate, owner quantities are within estimate range
Answer: D
Explanation:
Given Scenario:
The scenario involves a unit price contract between the owner and the contractor.
A unit price contract stipulates that the owner will pay the contractor for the actual quantities used at the bid unit rates. Typically, the contractor agrees to perform at or below the bid unit rate, while the owner may account for the possibility that the quantities could exceed the estimated range. The scenario best fits with the concept that:
The contractor can perform at or below the bid unit rate.
The owner recognizes that quantities may vary but are expected to be within an estimated range.
NEW QUESTION # 74
What is executed in connection with a contract and secures the performance and fulfillment of all the undertakings, covenants, terms, conditions and agreements contained in the contract?
- A. Liability insurance
- B. Bid bond
- C. Performance bond
- D. Surety bond
Answer: C
Explanation:
A Performance Bond is a type of surety bond issued by an insurance company or a bank to guarantee satisfactory completion of a project by a contractor. In connection with a contract, a performance bond secures the performance and fulfillment of all the undertakings, covenants, terms, conditions, and agreements contained in the contract. This ensures that if the contractor fails to complete the project as per the contract, the owner is compensated by the bond issuer for the financial losses incurred. This bond is crucial in construction and large projects to protect the client against the risk of contractor default.
NEW QUESTION # 75
Money is value. Having money when you need it is very important. Money can also be valuable when used wisely by knowing when to spend and when to conserve Also, planning now for future expenses can be a plus to the company rather than a debit.
There are several ways to capitalize money and spending. Basically there is the single payment method that has a compound amount factor and a present worth factor. There is the uniform annual series that has a sinking fund factor, capital recovery factor and also the compound amount factor and present worth factor. At this point, we can assure money is worth 10%.
The following question requires your selection of CCC/CCE Scenario 7 (4.8.50.1.1) from the right side of your split screen, using the drop down menu, to reference during your response/choice of responses.
A contractor must purchase a piece of equipment for $150,000. It has an estimated life of 10 years with no salvage value at the end. Ten years from now it will be necessary to purchase another piece of equipment, but this time it will cost $250,000. How much will the contractor need to invest at the end of each year in order to have the right amount?
- A. $12,550
- B. $16,273
- C. $15,687
- D. $9,412
Answer: A
Explanation:
To determine how much the contractor needs to invest at the end of each year to accumulate $250,000 in 10 years, we use the sinking fund factor formula:
A=F×(i(1+i)n-1)A = F \times \left(\frac{i}{(1+i)^n-1}\right)A=F×((1+i)n-1i) Where:
AAA is the annual payment
FFF is the future amount ($250,000)
iii is the interest rate per period (10% or 0.10)
nnn is the number of periods (10 years)
Plugging in the values:
A=250,000×(0.10(1+0.10)10-1)≈12,550A = 250,000 \times \left(\frac{0.10}{(1+0.10)^{10}-1}\right) \approx 12,550A=250,000×((1+0.10)10-10.10)≈12,550 So, the correct answer is B. $12,550.
NEW QUESTION # 76 
The following question requires your selection of CCC/CCE Scenario 4 (2.7.50.1.1) from the right side of your split screen, using the drop down menu, to reference during your response/choice of responses.
At the end of 30 months, the final price for the piece of equipment will be:
- A. $370,710
- B. $375,658
- C. $378,750
- D. $328,810
Answer: B
NEW QUESTION # 77
SCENARIO: A can manufacturing company requested you to provide data for their decision making The unit prices of the can varies but an average selling price of $0.55 cents and average cost of S45 cents is estimated.
The monthly fixed costs are:
Rant-$1,500
Wages - $4.000
Miscellaneous fixed expenses - $500
If there is an additional variable cost of $0.02 per unit, the monthly break even units are:
- A. 48,500 units
- B. 40,000 units
- C. 60,000 units
- D. 75,000 units
Answer: C
Explanation:
To calculate the break-even point, we need to determine how many units must be sold to cover all fixed and variable costs. The formula to calculate the break-even point in units is:
Break-even units=Total Fixed CostsSelling Price per Unit-Variable Cost per Unit\text{Break-even units} = \frac{\text{Total Fixed Costs}}{\text{Selling Price per Unit} - \text{Variable Cost per Unit}}Break-even units=Selling Price per Unit-Variable Cost per UnitTotal Fixed Costs Given:
Selling Price per Unit = $0.55
Variable Cost per Unit = $0.45 + $0.02 = $0.47
Contribution Margin per Unit = $0.55 - $0.47 = $0.08
Total Fixed Costs:
Total Fixed Costs=1500+4000+500=6000\text{Total Fixed Costs} = 1500 + 4000 + 500 = 6000Total Fixed Costs=1500+4000+500=6000 Break-even units:
Break-even units=60000.08=75,000 units\text{Break-even units} = \frac{6000}{0.08} = 75,000 \text{ units}Break-even units=0.086000=75,000 units Therefore, the correct answer is C. 75,000 units.
NEW QUESTION # 78
A major theme park is expanding the existing facility over a five-year period. The design phase will be completed one year after the contract is awarded. Major engineering drawings will be finalized two years after the design contract is awarded and construction will begin three years after the award of the design contract. New, unique ride technology will be used and an estimate will need to be developed to identify these costs that have no historical data.
After an individual's safety needs are met, what needs would the individual be motivated to fulfill next in Maslow's hierarchy of needs?
- A. Belonging needs
- B. Pay and compensation
- C. Self-actualization
- D. Knowledge
Answer: A
Explanation:
After an individual's safety needs are met, Maslow's hierarchy indicates the next needs to be fulfilled.
Maslow's Hierarchy of Needs:
Once safety needs are met, the next level in the hierarchy is Belongingness needs, which includes the need for social connections, relationships, and feeling part of a group.
NEW QUESTION # 79
The following question requires your selection of CCC/CCE Scenario 6 (2.7.50.1.3) from the right side of your split screen, using the drop down menu, to reference during your response/choice of responses.
What is the relative frequency of unit costs from Atlanta, GA?
- A. $40.59
- B. 33.33%
- C. 0
- D. $48.33
Answer: C
Explanation:
You need to find the relative frequency of unit costs from Atlanta, GA.
Steps:
Identify the number of bids from Atlanta, GA:
8/31/05: 530 units at $55.00/unit
11/19/04: 308 units at $40.00/unit
1/26/05: 45 units at $26.78/unit
Total number of instances: 3
NEW QUESTION # 80
In the application of the benefit/cost method of analysis, what are the criteria for determining whether a proposed project is acceptable?
- A. B/C is - 1.0
- B. B/C is >1.0
- C. B/C is > minimum ROR
- D. B/C is <1.0
Answer: B
Explanation:
In the benefit/cost (B/C) method of analysis, the criterion for determining whether a proposed project is acceptable is if the Benefit/Cost ratio (B/C) is greater than 1.0. This indicates that the benefits of the project outweigh the costs, thus making the project economically viable. A B/C ratio of exactly 1.0 suggests that the benefits are just sufficient to cover the costs, while a ratio greater than 1.0 indicates a profitable investment.
NEW QUESTION # 81
The following question requires your selection of CCC/CCE Scenario 28 (3.7.50.1.7) from the right side of your split screen, using the drop down menu, to reference during your response/choice of responses.
An unbalanced bid methodology can best be used by:
- A. Engineer/contractor working for the owner (Plan B)
- B. Subcontractor working for contractor (Plan A or B)
- C. Engineer working for the owner (Plan A)
- D. Contractor working directly for engineer (plan A or B)
Answer: D
Explanation:
Given Scenario:
The question is similar to Question 83, asking who can best use an unbalanced bid methodology.
The correct answer here remains consistent with the logic applied in Question 83. Subcontractors working for contractors in both organizational plans can leverage unbalanced bids.
Answer : B. Subcontractor working for contractor (Plan A or B)
NEW QUESTION # 82
An agricultural corporation that paid 53% in income tax wanted to build a grain elevator designed to last twenty-five (25) years at a cost of $80,000 with no salvage value. Annual income generated would be $22,500 and annual expenditures were to be $12,000.
Answer the question using a straight line depreciation and a 10% interest rate.
The following question requires your selection of CCC/CCE Scenario 17 (4.2.50.1.1) from the right side of your split screen, using the drop down menu, to reference during your response/choice of responses.
What is the "book value (BV) of the asset at the end of 5 years?
- A. $64,000
- B. $16,000
- C. $3,200
- D. $60,000
Answer: A
NEW QUESTION # 83
After collecting the control information on a light rail project within an original budget of 200.000 work hours, the construction contractor is ready for their monthly progress meeting with the client.
A total of 100.000 work hours have boon scheduled to date. with 105.000 work hours earned, and 110.000 work hours paid. The stated progress by the contractor Is 60%.
What is the cost performance index (CPI)?
- A. BCWS/ACWP = 100.000/110.000-0 91
- B. BCWP/ACWP = 105.000/110.000 = 0.95
- C. ACWP/BCWS = 110,000/100.000- 1.10
- D. ACWP/BCWP = 110.000/105,000 = 1.05
Answer: B
Explanation:
The Cost Performance Index (CPI) is a key metric in Earned Value Management (EVM) that measures the cost efficiency of the work performed on a project.
Key Points:
CPI Formula:
CPI = BCWP / ACWP
BCWP (Budgeted Cost of Work Performed) = 105,000 work hours
ACWP (Actual Cost of Work Performed) = 110,000 work hours
Calculation:
CPI = 105,000 / 110,000 = 0.95
Interpretation:
A CPI of less than 1 indicates that the project is over budget, as the actual cost incurred is higher than the value of the work performed.
Conclusion: The correct answer is A. BCWP/ACWP = 105,000/110,000 = 0.95 because this calculation accurately reflects the cost efficiency of the project.
NEW QUESTION # 84
An agricultural corporation that paid 53% in income tax wanted to build a grain elevator designed to last twenty-five (25) years at a cost of $80,000 with no salvage value. Annual income generated would be $22,500 and annual expenditures were to be $12,000.
Answer the question using a straight line depreciation and a 10% interest rate.
If you buy a lot for $3,000 and sell it for $6,000 at the end of 8 years, what is your annual rate of return?
- A. 9.1%
- B. 8.3%
- C. 9.9%
- D. 10.4%
Answer: A
NEW QUESTION # 85
An agricultural corporation that paid 53% in income tax wanted to build a grain elevator designed to last twenty-five (25) years at a cost of $80,000 with no salvage value. Annual income generated would be $22,500 and annual expenditures were to be $12,000.
Answer the question using a straight line depreciation and a 10% interest rate.
The following question requires your selection of CCC/CCE Scenario 17 (4.2.50.1.1) from the right side of your split screen, using the drop down menu, to reference during your response/choice of responses.
Present worth calculations is represented by which of the following equations?
- A. Option C
- B. Option A
- C. Option D
- D. Option B
Answer: C
NEW QUESTION # 86
The following question requires your selection of CCC/CCE Scenario 28 (3.7.50.1.7) from the right side of your split screen, using the drop down menu, to reference during your response/choice of responses.
In the A relationship, the subcontractor might use an unbalance bid to:
- A. Decrease the chances of extended claim litigation
- B. Reduce the risk of quantities being greater than estimated
- C. To get more payment early in the job
- D. Provides an alternative to competitive bidding
Answer: C
Explanation:
Given Scenario:
The question is asking what a subcontractor might achieve by using an unbalanced bid in the structure shown as Plan A.
An unbalanced bid is a bidding strategy where the subcontractor assigns higher costs to early stages of work. This allows the subcontractor to receive more money early in the project, reducing their financial risk and providing better cash flow.
NEW QUESTION # 87
After collecting the control information on a light rail project within an original budget of 200.0OO work hours, the construction contractor is ready for their monthly progress meeting with the client.
A total of 100.000 work hours have boon scheduled to date. with 105.000 work hours earned, and 110.000 work hours paid. The stated progress by the contractor is 60%.
After collecting the control information on a light rail project within an original budget of 200.000work hours, the construction contractor is ready for their monthly progress meeting with the client.
A total of 100.000 work hours have boon scheduled to date. with 105.000 work hours earned, and 110.000 work hours paid. The stated progress by the contractor Is 60%.
Is the percent complete stated by the contractor correct?
- A. Yes, it is 60%
- B. No, it should be 50.0%
- C. No, it should be 55.0%
- D. No, it should be 52.5%
Answer: C
Explanation:
To determine the correct percent complete, the earned value approach is used. The percent complete is calculated as follows:
Percent Complete = (Earned Work Hours / Budgeted Work Hours) × 100
Given:
Earned Work Hours (EV) = 105,000 hours
Budgeted Work Hours (BAC) = 200,000 hours
Percent Complete = (105,000 / 200,000) × 100 = 52.5%
However, this option is not available in the choices. The closest correct answer, considering standard rounding, is 55.0%. The rounding here accounts for small inaccuracies, which is typical in project management estimations, but in strict terms, the correct value is closer to 52.5%, and a better answer than 55.0% could have been provided as per detailed cost estimating principles.
NEW QUESTION # 88
When a person hears the words being said to him/her, but does not receive the message of the words, it is called
- A. Directive listening
- B. Judgmental listening
- C. Passive listening
- D. Reflective listening
Answer: C
NEW QUESTION # 89
A concrete slab measuring 10 feet wide by 13.5 feet long by 6 inches deep is to be installed. How many cubic yards of concrete will be required?
- A. 2.0 cubic yards
- B. 3.0 cubic yards
- C. 3.5 cubic yards
- D. 2.5 cubic yards
Answer: D
NEW QUESTION # 90 
The following question requires your selection of CCC/CCE Scenario 4 (2.7.50.1.1) from the right side of your split screen, using the drop down menu, to reference during your response/choice of responses.
At the end of Year 3, steel prices will have increased by what percentage over today's price? (round to 1 decimal)
- A. 4.6%
- B. 8.2%
- C. 8.0%
- D. 8.7%
Answer: C
NEW QUESTION # 91
Money is value. Having money when you need it is very important. Money can also be valuable when used wisely by knowing when to spend and when to conserve. Also, planning now for future expenses can be a plus to the company rather than a debit.
There are several ways to capitalize money and spending. Basically there is the single payment method that has a compound amount factor and a present worth factor. There is the uniform annual series that has a sinking fund factor, capital recovery factor and also the compound amount factor and present worth factor. At this point, we can assume money is worth 10%.
The following question requires your selection of CCC/CCE Scenario 7 (4.8.50.1.1) from the right side of your split screen, using the drop down menu, to reference during your response/choice of responses.
If $10,000 is invested now at 10% compounded annually, what will the investments be worth 10 years from now?
- A. $25,940
- B. $21,345
- C. $16,180
- D. $29,450
Answer: A
NEW QUESTION # 92
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