Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Two delivery methods have been proposed for a standard delivery method for new bridge constructions in Oregon to overcome traditional design-bid-build models that do not
Two delivery methods have been proposed for a standard delivery method for new bridge constructions in Oregon to overcome traditional design-bid-build models that do not adequately account for site conditions and constructability, and often lead to additional expenses. One alternative must be selected to represent the delivery method specified in the RFP. Based on data from recent bridge construction projects of comparable size, we can estimate the savings from reduced redesign costs, risk management costs, and overhead costs during the life of the construction contract over the traditional delivery model. The estimated costs of a 1.5 year contract are the following: Use a MARR of 4\% APR, compounded monthly. a. What is the PW of the CM/GC Model? dollars b. What is the PW of the DB model? dollars c. Based on parts a and b, which model should be selected? Both CM/GC and DB DB ranirer Two delivery methods have been proposed for a standard delivery method for new bridge constructions in Oregon to overcome traditional design-bid-build models that do not adequately account for site conditions and constructability, and often lead to additional expenses. One alternative must be selected to represent the delivery method specified in the RFP. Based on data from recent bridge construction projects of comparable size, we can estimate the savings from reduced redesign costs, risk management costs, and overhead costs during the life of the construction contract over the traditional delivery model. The estimated costs of a 1.5 year contract are the following: Use a MARR of 4\% APR, compounded monthly. a. What is the PW of the CM/GC Model? dollars b. What is the PW of the DB model? dollars c. Based on parts a and b, which model should be selected? Both CM/GC and DB DB ranirer
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started