In a unit price contract for 5,000 linear feet of fencing at $45 per linear foot, the actual quantity installed was 5,250 linear feet. What is the total contract amount?
Correct Answer
A) $236,250
In unit price contracts, payment is based on actual quantities installed. The total is calculated as 5,250 linear feet × $45 per linear foot = $236,250.
Why This Is the Correct Answer
In unit price contracts, the contractor is paid based on the actual quantities of work performed, not the estimated quantities in the original contract. Since 5,250 linear feet were actually installed, this becomes the basis for payment calculation. The total contract amount is determined by multiplying the actual quantity (5,250 LF) by the unit price ($45/LF), resulting in $236,250.
Why the Other Options Are Wrong
Option B: $247,500
This represents the original estimated contract amount (5,000 LF × $45 = $225,000) but fails to account for the additional 250 linear feet that were actually installed
Option C: $225,000
This represents 6,000 linear feet at $45 per linear foot, which significantly overstates the actual quantity installed by 750 linear feet
Memory Technique
Think 'ACTUAL PAYS' - in unit price contracts, you get paid for ACTUAL work performed, not estimated quantities
Reference Hint
Florida Building Code Chapter 1, Section 107 - Permits and Construction Documents, or contract administration sections in construction management references
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