Difference between prime cost and provisional sum

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Reference no: EM132118864

Question 1

You are the manager of the quantity surveying department for a developer based in Brisbane. Your firm has completed 5 projects recently as shown in the table below. Each project comprises a number of 2-storey, medium standard townhouses (2 bedrooms with single level brick veneer).

Project

GFA (m2)*

Cost ($)**

Completion year

1

16,000

29,280,000

2014

2

13,000

22,100,000

2013

3

9,000

15,750,000

2012

4

8,000

14,800,000

 2011

5

6,500

11,830,000

2013

'GFA can be defined as the sum of the fully enclosed covered floor area and the unenclosed covered floor area of a building at all floor levels, measured in a square metres.

"The cost is construction costs only and does not include a land component.

Your company established an office in Cairns in early 2018, with the aim to do similar work. The first project is estimated to have a GFA of 14,500 m2 and the target completion time is 12 months. A project director sought your help to estimate the construction costs using a square metre method based on company data drawn from the above past completed projects.

The project director has requested a report showing how you have estimated the cost of the proposal. The report should also specify your data sources (if available), and, importantly, your comments on uncertainties embedded in your calculation.

Note: if any data you need for your calculation is not available or accessible, you are allowed to make assumptions that you think reasonable and appropriate but remember to state them clearly in your report.

Question 2

a. Discuss how the "level of detail" evolves as an estimate develops in term of labour, materials and plant costs, and the sources of information used?

b. Using examples, explain why there is a difference between Prime Cost and Provisional Sum.

Question 3

You are the building manager of a 10-storey office building. You plan to add 3 rooms on the 6th floor in an empty "shell" space of this building based on a preliminary floor plan (Figure 1). Key project information is shown in Table 1. While you are free to select the project material for the walls, windows, floor coverings, doors etc., please state your choices clearly in the report.

Item

Detail

Floor-to-floor height

3600mm

Building location

CBD, Rockhampton

Ceiling

New grid ceiling

Floor Coverings

New

1870_figure.jpg

Reference no: EM132118864

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Reviews

len2118864

9/21/2018 4:02:32 AM

I am wondering if question 1 and question 3 can be completed by an expert by Saturday morning 11am. Please let me know if this can be completed. Note: if any data you need for your calculation is not available or accessible, you are allowed to make assumptions that you think reasonable and appropriate but remember to state them clearly in your report

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