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Alternate B deletes $64,500 of direct work but adds $8,700 of patching. With 10% markup on the net deduct, what deductive alternate should be listed?

Correct Answer

A) $61,380 deduct

Compute the net direct deduct and apply markup to the net.

Answer Options
A
$61,380 deduct
B
$55,800 deduct
C
$57,420 deduct
D
$73,260 deduct

Why This Is the Correct Answer

Compute the net direct deduct and apply markup to the net.

Why the Other Options Are Wrong

Option B: $55,800 deduct

$55,800 deduct is below the supported result for bid alternate deduct; it likely uses the wrong base, period, or account bucket.

Option C: $57,420 deduct

$57,420 deduct is below the supported result for bid alternate deduct; it likely uses the wrong base, period, or account bucket.

Option D: $73,260 deduct

$73,260 deduct is above the supported result for bid alternate deduct; it likely adds an unsupported amount or compares the wrong financial base.

Memory Technique

Estimator Completes money shelf: cost for markup, price for margin.

Reference Hint

Open-book path: tab Principles and Practices of Commercial Construction, 11th Edition, 2024 to Bid alternates; deductive alternate pricing; verify the quantity, approval point, notice rule, or field record before answering.

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