Contracts & Specifications (Practice Test MCQs)

50 Score: 0 Attempted: 0/50

1. A contract is legally enforceable when:
(A) It is in writing only
(B) There is an offer, acceptance, and consideration
(C) Both parties are engineers
(D) Signed by a government official only

2. The purpose of specifications in construction is:
(A) To increase project cost
(B) To define the quality and standards of work
(C) To speed up construction only
(D) To reduce contractor’s responsibility

3. A lump sum contract means:
(A) Payment based on actual quantities
(B) Payment as per schedule of rates
(C) Fixed total price for the complete work
(D) Payment on a daily basis

4. Which contract is suitable for works with uncertain quantities?
(A) Lump sum contract
(B) Item rate contract
(C) Cost plus percentage contract
(D) Turnkey contract

5. The document that describes the nature and scope of work is called:
(A) Specification
(B) Bill of quantities
(C) Tender form
(D) Contract deed

6. General specifications include:
(A) Only the method of construction
(B) Detailed measurements and cost
(C) Broad description of work and materials
(D) Contractor’s payment terms only

7. Detailed specifications are prepared for:
(A) Estimation and contract documents
(B) Only for government works
(C) To calculate profit
(D) Labor wage distribution

8. The main objective of a contract is to:
(A) Increase project cost
(B) Minimize disputes and define obligations
(C) Avoid supervision
(D) Change the project scope anytime

9. Which type of contract gives complete design and construction responsibility to the contractor?
(A) Item rate contract
(B) Turnkey contract
(C) Cost plus fixed fee contract
(D) Unit price contract

10. Retention money is:
(A) The profit of the contractor
(B) Part of payment withheld to ensure proper completion
(C) Penalty for delay
(D) Bonus for early completion

11. A tender is:
(A) Final bill of the project
(B) Formal offer by a contractor to execute work at a specified cost
(C) Measurement of quantities
(D) Penalty clause

12. The lowest responsive tender means:
(A) The tender with the least price
(B) The tender with lowest price and meeting all requirements
(C) The tender with minimum time of completion
(D) The tender submitted first

13. Escalation clause in a contract is provided for:
(A) Bonus to contractor
(B) Delay in payment
(C) Adjusting price variation due to market changes
(D) Penalty imposition

14. Which contract reduces the contractor’s risk the most?
(A) Lump sum contract
(B) Cost plus percentage contract
(C) Unit price contract
(D) Fixed price contract

15. Specifications should be:
(A) Ambiguous
(B) Clear, complete, and free from contradictions
(C) Complex and technical only
(D) Avoided in small projects

16. Arbitration is:
(A) A method of cost calculation
(B) A legal process for dispute resolution outside court
(C) A type of specification
(D) A contract termination clause

17. Performance bond is:
(A) Insurance for laborers
(B) Security deposit ensuring completion of contract
(C) Final payment to contractor
(D) Material safety guarantee

18. Which contract involves the contractor designing, financing, and operating the facility for a period?
(A) Item rate contract
(B) BOT (Build-Operate-Transfer) contract
(C) Lump sum contract
(D) Fixed fee contract

19. Penalty for delay in contract completion is known as:
(A) Liquidated damages
(B) Performance bonus
(C) Retention money
(D) Escalation

20. Which of the following is NOT a standard form of contract?
(A) FIDIC
(B) CPWD contract
(C) AASHTO agreement
(D) IS 456:2000

21. Privity of contract means:
(A) Third parties can enforce contract
(B) Only parties involved in the contract can enforce it
(C) Contract is open to the public
(D) Contract can be modified by anyone

22. Specifications for workmanship include:
(A) Financial penalties
(B) Standards and methods of execution
(C) Labor contract terms
(D) Overhead charges

23. Which contract is best for projects with repeated works?
(A) Turnkey contract
(B) Unit price contract
(C) Cost plus fixed fee contract
(D) Percentage rate contract

24. A contract is voidable when:
(A) It is legally enforceable
(B) It is made under coercion, misrepresentation, or fraud
(C) It is made in writing only
(D) Both parties agree mutually

25. The purpose of a Bill of Quantities (BOQ) is:
(A) To show profit and loss
(B) To provide a detailed list of work items with quantities
(C) To issue tender notice
(D) To prepare drawings

26. Which type of specification is commonly used in government works?
(A) Proprietary specifications
(B) General specifications
(C) Special specifications
(D) Standard specifications

27. A penalty clause in a contract is also called:
(A) Performance clause
(B) Liquidated damage clause
(C) Variation clause
(D) Retention clause

28. Contract documents include:
(A) Drawings, specifications, and conditions of contract
(B) Contractor’s resume
(C) Only specifications
(D) Labor attendance sheet

29. A turnkey contract is most suitable for:
(A) Small repairs
(B) Industrial plants or infrastructure projects
(C) Short-term labor hiring
(D) Temporary construction sheds

30. Which document defines the rights and liabilities of the contractor and owner?
(A) Drawings
(B) Specifications
(C) Contract agreement
(D) Bill of quantities

31. In cost plus fixed fee contract:
(A) Contractor gets a fixed profit irrespective of cost
(B) Contractor bears all risks
(C) Payment is based on BOQ
(D) Fixed amount is paid without cost calculation

32. Force majeure clause deals with:
(A) Payment schedule
(B) Unforeseen events like natural disasters
(C) Retention money
(D) Contractor’s profit margin

33. Which is NOT a type of specification?
(A) General specification
(B) Detailed specification
(C) Proprietary specification
(D) Economic specification

34. Variation orders are issued to:
(A) Modify work during construction
(B) Terminate contract
(C) Reject tender
(D) Release retention money

35. Who issues the completion certificate?
(A) Contractor
(B) Client/Engineer-in-charge
(C) Subcontractor
(D) Financial auditor

36. What does EMD stand for in tendering?
(A) Estimated Material Demand
(B) Earnest Money Deposit
(C) Engineer’s Monthly Demand
(D) Emergency Material Delivery

37. Specifications that name a particular brand or product are:
(A) Open specifications
(B) Proprietary specifications
(C) Standard specifications
(D) General specifications

38. Contract time includes:
(A) Working hours only
(B) Total time allowed to complete the project
(C) Time for arbitration
(D) Defects liability period only

39. The primary aim of specifications is to:
(A) Determine project cost
(B) Ensure desired quality of work and materials
(C) Reduce project duration
(D) Finalize payment schedule

40. Defects liability period (DLP) means:
(A) Period during which defects must be rectified by contractor
(B) Period of arbitration
(C) Delay penalty period
(D) Period before final bill

41. Provisional sum in a contract is:
(A) Guaranteed payment amount
(B) Estimate for unforeseen works
(C) Contractor’s bonus
(D) Retention money

42. A supplementary agreement is executed when:
(A) Contract is terminated
(B) Contract is extended or altered
(C) Contractor is blacklisted
(D) Arbitration is completed

43. Tender notice is issued by:
(A) Contractor
(B) Client/Owner
(C) Subcontractor
(D) Supplier

44. What does BOOT stand for?
(A) Build-Own-Operate-Transfer
(B) Build-Operate-Organize-Transfer
(C) Build-Operate-Oversee-Transport
(D) Build-Operate-Order-Tender

45. Which is NOT part of a tender document?
(A) General conditions
(B) Detailed drawings
(C) Contractor’s private bank statement
(D) Schedule of quantities

46. Earnest Money Deposit (EMD) is refunded to unsuccessful bidders:
(A) Immediately after opening tender
(B) After final bill
(C) After acceptance of tender
(D) Never refunded

47. Liquidated damages are charged for:
(A) Good quality work
(B) Delay in work completion
(C) Bonus achievement
(D) Material wastage

48. Which document has legal precedence in case of discrepancy?
(A) Drawings
(B) BOQ
(C) Contract agreement
(D) General conditions

49. Tender validity period means:
(A) Time for payment release
(B) Period during which tender remains open for acceptance
(C) Defect liability period
(D) Warranty period

50. Specifications help in:
(A) Preparing estimates and ensuring quality control
(B) Only contractor profit
(C) Increasing labor cost
(D) Avoiding arbitration

Contracts & Specifications (Practice Test MCQs)

1. Basic/Foundation Subjects

2. Core Civil Engineering Subjects

3. Advanced/Applied Subjects

4. Management and Planning

5. Environmental & Sustainable Development