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THE HONG KONG INSTITUTE OF SURVEYORS
QUANTITY SURVEYING DIVISION
ASSESSMENT OF PROFESSIONAL COMPETENCE
FINAL ASSESSMENT ~ SEPTEMBER 2010
PRACTICE PROBLEM — DAY 1
Monday, 13" September, 2010Teen i
PRACTICE PROBLEM ~DAY 1
10
us
12
13
14
15
20
2a
NOTES TO CANDIDATES
Headings to questions are for ease of identfication only and do not form part
ofthe questions.
The number of main questions is a8 follows:
(1). First day — 4 questions carying varying marks with an aggregate marc
of 50
(2) Second day ~ 4 questions canying varying marks with an aggregate
mark of 50
Allain Questions and Sub-Questions are compulsory.
The total mark of each day's paper Is 60. The passing mark of each day's
paper is 55% ofthe total mark of that paper. Candidates whe have passed
both days’ papers will be considered as having passed the APC Practice
Problem.
Refer also to INSTRUCTIONS TO CANDIDATES, which were issued to you
in advance,
FIVE COMMON CRITERIA
Candidates are expected to illustrate @ reasonable level of professional
‘competence against five common criteria outlined below, sufficient for the
‘Assessors to answer the question ‘Would | employ the Candidate to work
a qualified Quantity Surveyor with the ability to resolve problems in a
professional manner?" However, It should be recognized that not all these
ertera apply to every problem, nor do they carry equal weight
1, Perception: A full understanding ofthe problem posed, evidenced by a
response to each item in the question, Candidates should also show
foresight by anticipating addtional problems not specticaly mentioned.
2, Imagination: The assumption of essential supplementary information so
a to provide a full response; also the use of imaginary telephone
inquires, quotations, notes, ot.
Page 1 0112ele aos
PRACTICE PROBLEM — DAY 1
2.0 FIVE COMMON CRITERIA
3. Technical skills: The correct use of measurement principles, prices,
Aiscount factors, etc. The use of appropriate short cuts, rounding off of
figures, etc. to sut the scale ofthe problem, The provision of analysis to a
depth appropriate fo the stage reached by Candidates and the time
constraints imposed on Candidates,
4. Judgement: The provision of sound professional advce indicative of
professional knowledge and experience gained by Candidates. The
advice should be frm and unhestating, except-where suitable caveats
are essential
5. Communication: Free of ambiguity, with clear expression and an
‘absence of melevant or inappropriate technical details, paricularly when
provided to an Employer who Is not experienced in building construction.
Correct syntax and good professional style In letters and reports are
Important. Cancidetes should clearly convey their interpretations and
proposals.
Page 20f 12PRACTICE PROBLEM —DAY 1
No, an [15 marks}
A local developer, Harvest Company Limited (HCL), is intending to bid for the
land on Lot 180 Ho Man Tin Road, which le curenty a vacant site, to be auctioned
sometime next month. This land is very lose to anther HCL’s development: The
STAR Residential Development ("The STAR') whichis lacated on Lot 121 along
the same Ho Man Tin Road. The aperiments of The STAR were sold very well and
HCL intends to lease Lot 120 in the forthooming auction and develop this Lotto @
type and class similar to The STAR.
‘The site area of Lot 130 is approximately 2,000 m2. The potential plot rato Is the
‘same as that of Lot 121, with no concessionary arrangementin both cases,
This moming, the Financial Director of HCL called you and asked for a rough
indication of the current construction cost of the potential development at Lot 120
‘assuming the development willbe similar to The STAR on Let 121. He would also
lke to know the current cost per square foot so that he can bench-mark against
‘other developments. As he will be out of the office today, he has asked your
‘company to respond to his enquires by an email. He has just emailed a copy of
the historical cost data of The STAR for your information. Your senior Associate,
Ms. Wong, asks you to prepare the rough estimate by using the data of The STAR,
but would require you to:
(a) write some notes stating the checks, cautions and adjustments that you
would exercise when adopting such data;
{Sub-total for item (a): 5 marks]
(©) do backup caloulations; and
[Sub-total for item (J
marks]
(©) draft a simple cost summary with necessary qualifications for submission to
HL (covering letter not required).
[Sub-total for item (
marks]
Page sof 12RAL ASSESSMENT = SErTEAOSR ETO
PRACTICE PROBLEM DAY 4
wy
‘Question No. 1 — Cost Plan (Cont'd)
“The STAR Residential Dovolopment at Lot 121, Ho Man Tin Road
Coat Data
Site Area 680m
Gross Foor rea | 00.418 SF (exuding covered carat)
Summary of Consucton Coats ‘Award Date | Consvgion Cost
|_At_| Site investigation and surveys Jan 2005, 0.25
Sie formation worke nudges
oo hoardings (vacant site) be 2.00
7A Bored pile foundations Dee 2005 2500
[ [Main Convact 792008
[Aa | Apartments (@ $13,560? GFA) 150.00
AS |” Cub house (@ § 23,6107n2 CFA) 10.00
1a | Spare capa (@ $ Sst0ina “ooo
TAT |” Extemal works and ndscaping 500
oak | pana
Consultancy fees and utility services connection charges are Induded under @
separate Cost Centr.
‘Abbrovition: SF ~ square foot
SM~Sinmiion
(CFA Constracton Floor Area
Page 4 of 12PRACTICE PROBLEM DAY 1
‘Question No. 4 Cost Plan (Cont'd)
een,
Year | Quarter [TP Year| Quarter TP
[2010 2 11341) | 2006 4 769
1 1194 3 751
2008 4 nor | 2 730
3m 1 14
2 983 2008; 4 697
1 1074 - 3 718
2008 | 4 ee | 2 716
3 1401 1 Ti
2 1305 | 2004 4 70%
1 8 | 3 704
poor | 4 988 2 712
3 906 1 685
2 ~ 859
1 | sat
Legend: (P)~ Provisional
Page 5 of 12PRACTICE PROBLEM- DAY 1
(Quostion No. 2- Tendering [15 marks}
‘The Employer, Harvest Company Limited (HCL'), has bought a block of si-storey
dliapidated industrial buiding at 123 AB-Lane at Kwun Tong. HCL intends to
renovate the building and tum it into ofice spaces with the ground floor to be used
is reall spaces.
‘Tender documents for the renovation works were Issued two weeks ago. The
Scope of the Works generally Includes upgrading the interior Fishes and building
services installations. The Contract is to be based on a lump sum fixed price
contract with quantiles forming part of the Contract. The tender dacuments
provide fora fixed Contract Period of 400 calendar daye with a milestone date for
‘obaining the Occupation Permit ("OF") within 340 calendar days
‘Two weeks into the four-week tendering period, the Structural Engineer has
‘completed the concrete survey and discovered patches of spalling concrete on the
walls and celings of every floor. The area of spalling concrete amounts 0
approximately 1,000 m2. There is no provislon for recicaton of spaling concrete
in the curentiy issued tender documents. The Structural Engineer has advised that
the rectifcation work will cause 40 days delay to the oxginaly scheduled overall
‘works programme.
In the mean time, HCL s about to close a deal with a chaln-store company, Super
Mart, which intends to rent the ground floor as @ eupermarket. However, Super
[Mart wants to have the ground floor handed over to them ready for thei in-house.
Specialist contractor to carryout iting out work atleast one month In advance of
the compltion ofthe works ofthe whole building. HCL does not want Super-Mart's
fiting out work to affect the OP of the building. HCL is also keen to eccommodate
this request since the existence of a supermarket will tract more people to their
development.
Page sof 12PRACTICE PROBLEM - DAY 4
‘Question No. 2~ Tendering (Cont'd)
Folloning @ meeting, the Architect has advised that the eatly completion and
handover ofthe ground floor is feasible given thatthe OP will have been obtained
“4 weeks before the handover ofthe whole building
‘You, as the Consulting Quantity Surveyor, are asked to:
(2) advise whether itis necessary to amend the tender documents to deal with
the above issues; and
[Sub-total for item (a): 5 marks]
(©) Give a list of the various parts of the tender documents and describe with
reasons what provisions would need to be amended or added. There is no
reed to draft the provisions,
[Sub-total for iter (b): 10 marks]
Page 7 of 12Question No.3 Lotter of Acceptance 115 marks}
Whilst awaiting the retum of tenders for the Main Contract, the Employer has
‘advised you that his Purchasing Department has contimed a Vendor's quotation
for the supply and instalation of a large sized outdoor promotion display poster.
“The display poster Is approximately 10m (high) x 6m (wide) and i intended to be
mounted on the scaffeling that Is to be erected by the Main Contractor at the
‘extemal wall
The Employer is concerned about 3 issues: (a) how the timing of the poster
Installation will interface with the Main Contractor's works, (2) the subsequent
maintenance of the poster due to possible damage caused by inclement weathe
‘and (c) the removal ofthe poster. I fs the Employers intention thatthe poster wil
only be displayed for a period of 3 months in the middle of the 12 months Main
Contract period.
‘The Employer wants you as his Consulting Quantity Surveyor to draft a Letter of
Acceptance incorporating the essential terme and addressing hie 3 concerns for
‘sgreement by the Veneer.
Before preparing the draft Letter of Acceptance, your Senior Associate requested
you to review the Vendor's quotation and draft in bullet points the usual and
particular terms thet should be incorporated In the Letter of Acceptance with
‘laboration on reagone of incorporation, in particular on how the concerns of the
Employer should be addressed to facilitate the ciscussion with the Vendor in
preparation for the agreement of the Letter of Acceptance. The complete craft of
the Letter of Acceptance is not required,
‘[Link] of the Vendor's quotation is attached for your reference.
Please reply by wring an intemal memo to the Senior Associate stating the bullet
Points and the elaberation.
‘Appendices to Question 3:
‘Appendix 3A - Tender Invitation Letter from the Employer tothe Vendor
‘Appendix 38 - Tender Drawing attached to the Tender Invitation Letter
‘Appendix 36 - Quotation from the Vendor
Page 812PRACTICE PROBLEM - DAY 1
‘Quostion No. 3— Letter of Acceptance APPENDIX 2A,
Ret: APCI2010/0n-01-03
Date: 25 August 2010,
Wide Prospect Advertising Co,, Lid
31F Two Island East,
3888 King’s Rosa
(Quarry Bay
Hong Keng
Dear Sirs,
Renovation of Industrial Bullding at 67890 King’s Road, North Point
‘Supply and Installation of Outdoor Vinyl Promotion Poster
We are the Owners ofthe captioned building and are now planning to renovate the
entire industrial building and convert it to our desired use af a commercial bullaing.
You are cordially invited to submit a quotation in accordance with the requirements
fn the attached drawing. Your quetaion must be signed by your authorized
signatory, stamped with your company chop and submitted ina plain sealed
envelope clearly marked "Supply and Installation of Outdoor Vinyi Promotion
Poster’ and deposited in the tender box al the folowing address on or before
12:00 noon, 6 September 2010.
Harvest Company Limited
238/F Multiplex Centre
10000 Des Voeux Road Cental
Central, Hong Kong
Pease note that quotation submitted late and/or at places other than that specified
will not be considered.
‘Should you be unable to submit a quotation, please nay us immediately by letter
for our record. submission in the name of a company other than the one
addressed fo in this invitation will not be accepted,
Yours faithfully,
For and on behalf of
Harvest Company Limited
Qo —
ABChen
General Manager
Endl. Tender Drawing No, 3654/CAD/223 — 1 copy
Page 9.0112PRACTICE PROBLEM —DAY +
‘APPENDIX 3B,
Page 100112Fat aSsessuent =e seereeENoTe
‘Question No.3 Lotter of Acceptance APPENDIX 3
WIDE PROSPECT ADVERTISING CO.,LTD.
Quotation for the Supply and Installation of Outdoor Vinyl Promotion Poster
for the Renovation of Industrial Building at 67890 King's Road, North Point,
Hong Kong
tem Desarinion Quantly Unit Rate HS) Amount
KS)
1. Supply andinstalafonof -—«=—=No.--709000.00 70,000.00
‘outdoor vinyl poster, size
‘tom (H) x 6m (W)
2. EC Ineurance 1 tem: 3,000.00,
3. Maintenance (8 months) + tem 6,000.00,
TOTAL ~ 79,000.00 —
Remark:
a) Scaffolding is excluded and isto be provided by athers. The scaffolding shal
be erected in accordance with the latest siautory requirements and
examined by a licensed inspector priar tothe insalation ofthe vinyl poster.
>) The quotation excludes the design ofthe graphics as a blueprint forthe vinyl
poster
©) The eres for the graphics shail be in a designated computer format, ia. in
adobe illustrator (a) format. Additonal fees shall be charged for converting
the e-fles of other formats into al format.
4) 2 weeks are required for printing the poster upon confirmation of the size,
dimension and colour ofthe graphics.
woe VT
For and on behalf of Wide Prospedt Adverising Co. Lid
Date: _6 September 2010
Page 11 of 12‘Question No. 4 Prime Cost Rates and Prime Cost Sums [S marks]
‘You received an email from the Employer's representative who wished you to
‘explain to him the diferoncos between prime cost rates and prime cost sums
Proase draft an email reply,
Page 120f 12THE HONG KONG INSTITUTE OF SURVEYORS
QUANTITY SURVEYING DIVISION
‘ASSESSMENT OF PROFESSIONAL COMPETENCE
FINAL ASSESSMENT ~ SEPTEMBER 2010
PRACTICE PROBLEM ~ DAY 2
Tuesday, 14" September, 2010PRACTICE PROBLE!
AY 2
10
4a
12
13
14
15
20
24
NOTES TO CANDIDATES
Headings to questions are for ease of identification only and do not form part
ofthe questions.
‘The number of main questions is a8 follows:
(1) First day — 4 questions carrying varying marks with an aggregate mark
of 50
(2) Second day — 4 questions carrying varying marks with an aggregate
mark of 60
All Main Questions and Sub-Questions are compulsory.
‘The total mark of each day's paper is 60. The passing mark of each day's
paper is 55% ofthe total mark of that paper. Candidates whe have passed
booth days’ papers wil be considered as having passed the APC Practice
Problem,
Refer also to INSTRUCTIONS TO CANDIDATES, which were issued to you
in advance.
FIVE COMMON CRITERIA
Candidates are expected to llustrate a reasonable level of professional
competence against five common cfteia outlined below, sufficient for the
Assessors fo answer the question ‘Would I employ the Candidate to work
as a qualified Quantity Surveyor with the ability to resolve problems in a
professional manner". However, it should be recognized that net all these
criteria apply to every problem, nor do they carry equal weight
1. Perception: A full understanding of the problem posed, evidenced by a
response to each item in the question. Candidates should also show
foresight by anticipating addtional problems not specifically mentioned.
2, Imagination: The aseumption of essential supplementary information £0
fa 10 provide a full response; also the use of imaginary telephone
inquires, quotations, notes, ete
Page t of 152.0 FIVE COMMON CRITERIA
2. Technical skills: The correct use of measurement principles, prices,
lecount factors, ote. The use of appropriate shor cuts, rounding aff of
figutee, ete o ult the ecale ofthe problem. The provision of analysis to a
depth appropriate to the stage reached by Candidates and the time
constraints imposed on Candidates.
4, Judgement: The provision of sound professional advice indicative of
professional knowledge and experience gained by Candidates. The
Advice should be firm and unhesitaing, except where suitable caveats
are essential
5, Communication: Free of ambiguity, with clear expression and an
absence of irelevant or inappropriate technical detalls, pariculaty when
provided to an Employer who is not experienced in building construction
Correct syntax and good professional style in letters and reports are
Important. Candidates should clearly convey their interpretations and
proposals.
Page 2 of 16‘Question No. 4- Valuation of Interim Payment [12 marks}
‘You are working for a Main Contractor and are appointed as the Project Quantity
‘Surveyor for 8 residential development.
‘Your company submitted Payment Application No. 15 (PA No. 15°) on 6
‘September 2010. The site visit for payment valuation was attended by the
representative of the Consulting Quantity Surveyor and yourself on the same day.
On 10” September 2010, the Consulting Quantity Surveyor sent you a draft
payment valuation of PA No. 15 for your proiminary information. Earlier this
morning, your boss discussed with you his comments on the draft payment
valuation. You then called the representative ofthe Consuling Quantity Surveyor
‘and he told you the reasoning behind his draft payment valuation.
‘Your boss’ comments on and the Consulting Quantity Surveyors reasoning behind
the draft payment valuation are listed as follows:
‘Your Boss! Comments | Consulting Quantily Surveyors Reasoning
7. | The work done for internal wall |» The Consulting Quantity Surveyor
ties at typical floors should be| acknowledged the workdone for
{0% instead of 60%, which is a| intemal wall ties at typical floors to be
typing mistake in the Main| 80% but recommended 60% as per the
Contractor's submission of PA) — Main Contractor's stated percentage in
No. 15. PAN. 15.
[Sub-total for item 1: 3 marks]
Page 3 of 15PRACTICE PROBLE!
aya.
Question No. 4 - Valuation of Interim Payment (Contd)
"@ delivered timber window |» The Main Contractor has only delivered
Your Boas Comments | Gonsling Quantiy Surveyors Reasoning
boards have not been incuded| the timber window boards and will only |
In the payment valuation, slart to lay the boards in tho coming |
week,
‘+The Main Contractor has applied 60%
‘workdone in his payment application |
Instead of applying for materials on site|
under the list of unfixed materials on |
site in PA No. 16. |
+ There was no workdene forthe timber
window boards on the date of ste vist
+ The Main Contractor has only
submited the delivery notes of the
delivered timber window boards.
‘+The Main Contractor could not provide
the receipt of payment forthe delivered
timber window boards,
[Subtotal for tom 2: 4 marks]
Page 4 of 15PRACTICE PROBLE!
ava.
Question No, 4- Valuation of interim Payment (Cont'd)
‘Your Boss! Comments
Consuling Quantity Surveyors Reasoning
3, | The addtional works covered by
CVI No. 1 (see Appendic 14)
have not been included.
The Consuling Quantity Surveyor was
not able to confirm the vallty of CVI
No.4
‘+The Consulting Quantiy Surveyor only
recelved the Architect's letter ref. TKO-
CDL/L16B dated 23° April 2010 (see
‘Appendix 18) in reply to the Main
Contractor's CVI No. 1 and has not yet
received a formal Architects instruction
‘with the usual assigned Architect's
Instruction serial number to cover.
[Sub-total for item 3: § marks}
‘Afar a discussion with your boss, you ere asked to write him a memo expressing
your views on the Consulting Quantity Surveyor's draft payment valuation. Your
‘memo should indude the relevant clauses of the Concitions of Contract in support
of your views.
‘Appendices to Question No. 1
‘Appendix 1A — Confirmation of Verbal Instruction No. 1 (CVI No. 1") dated
14" April 2010.
Appendix 18 Architects letter ref. TKO-CDL/L168 dated 23° April 2010
Page § of 15‘Question No, 1- Valuation of interim Payment ‘APPENIDX 14,
‘TOP ADVANCE CONSTRUCTION CO., LTD.
SONFIRMATION OF VERBAL INSTRUCTION
CMINo: Date: 14 Apai'2010
To: AcMark Architects Lid. Attenton: Mr. A.M. Chan (Project Arcitet)
Main Contract Works for Residential Development at 123 CD-Lane at
Project: Teeung Kwan 0
‘Subject: Add Fireated Board Bulkhead at Typlcal Lift Lobbies
We
10 the ste walk on 12" Apt 2010,
\We contin the following verbal instructions glen by your Mr. A. M. Chan to our
MCC. Wong =
1. Add freated board bulkhead to conceal all exposed plpes st Typoal LR
Lobbies
2, Complete the fre-ated board bulkhead with white paint
‘You are requested to issue formel Architect's Instruction to cover the sitions!
work.
Floase be eaviced that inplomariaion of the said works wil Rave the Tolowing
secs
[DC] induce cost variation to the Contract,
[1 require aditonl ime for complation
For Top Ravance Consiation Co, Ud
Signed by C. C. Wong
©. €, Wong Proje anager)
lows: Tempore] roe [rose | cos | roow | ne] on [v0] So
x pete yey x pep ey eye
7 Diels as prepa
Page 6 0115PRACTICE PROBLEM DAY 2
‘Question No, 4 - Valuation of interim Payment APPENDIX 1B,
80 A-Mark Architects Ltd. ce
(Our Ret. TKO-CDLL 168, 23% April 2010
Top Advance Construction Co., Lis By Fax & By Post
Address
Alfonton: Me. C, C. Wong (Project Manager
Dear Sirs,
Re: Main Contract Works for Residential Development at 123 CD-Lane at
Tseung Kwan
‘Add Fire-rated Board Bulkhead at Typical Lift Lobbi
\We refer to your Canfrmation of Verbal Instruction No.1 issued on 14" Apri 2010,
regarding the captioned,
We would lke to confirm the seme and provide the following construction
Information:-
41. The detals ofthe adaltoralrerated board bukhead at Typical Lit Lobbies shall
{allow aur approved shop drawings no. FRB-1 105.
2. Painting to the said fro-rated board bulkhoad shall be non-fammable, You
should submit samples and catalogues tous for approval
“Thank you for your attention.
‘Yours fitful,
For and on behalf of
‘AeMark Architects Lid
Signed by A. M. Chan
‘A.M, Chan (Project Architect)
ee. The Employer
The Project Structural Engineer (PSE)
‘The Project Bulking Services Engineer (PBSE)
The Consuling Quantity Surveyor (QS)
Page 7 of 15‘Question No.2 Valuation of Variation Works [13 marks}
In the Bills of Quantities (180°) of a commercial complex project with 3 levels of
shopping arcade, the glazed shop-frant partons are measured and priced for in
the BQ items as abstracted below:
item | Description p= Unit | Rate | Amount
Ks) |__ (ks)
INTERNAL GLAZED SHOP-FRONT PARTITIONS SYSTEM
Design to approval, supp and
install intemal glazed shop-ront
parttions comprising mutions,
transoms, supporting frames,
brackets, anchors, copings, cape,
‘angles, "fire slop _insulations,
including glass and all necessary
fitings and accessories as shown
on Drawings No. Pt to PS | |
6:1 | Tntemal glazed shop-Tont partion | 1000 | m2 | 2500”| 2,500,000
with 8 mm thick tempered glass
fn Levels 1 and 2 (of 4m height)
‘3.82 | Ditto on Level 3 (of 45m height) 2500 | ~7,400,000,
To cater for structural amendment during the post contract sage, the storey
heights of Levels 1 and 2 have been revised from 4m to 4.5m. The Architect has
seued an insttucion (Al. No. 131) to the Main Contractor to revise
correspondingly the heights of the glazed shop-ront partons on Levels 1 and 2,
‘The Main Contractor has refused to use the BQ rate of lem 3.62 for the valuation
ofthis variation and has issued a letter to the Project Manager (Main Contractor's
letter is attached as Appendix 2A) giving his reasons as to why the sald BQ rate fs
inappropriate, With regard to this issue, the Project Manager has written to seek
your advice (Project Manager's letter le attached as Appendix 2B). Acting as the
‘Consulting Quantity Surveyor, you are requested to reply the Project Manager's
letter to address his concerns.
‘Appendices to Question No. 2:
‘Appendix 2A ~ Letter from the Main Contractor, and
‘Appendix 2B ~ Letter from the Project Manager.
Poge 8 of 15PRACTICE PROBLEM —DAY 2
westion No.2 Valuation of Variation Work APPENDIX 2A
FitBuild Construction Co., Ltd.
t abled ne
Date: 20% August 2010
'SMARTMAN Project Management Co, Lid
12FF, Big Commercial Building
18, Water Front Road,
Wan Chi
Hong Kong
Adenton: Mr, Project Manager
Dear Sis,
Re: Proposed Commercial Development in Mong Kok
Reference is made to the Architect's Insition No. 131 regarding the revision of the
heights of the internal glazed shop-front partitions due to th revised storey eights (fom
44m to 45m) on Levels | and 2 ofthe captioned project,
We write to express our objection to the se of the BQ rate (tem 3.6.2 in the Bills of|
Quantities) forthe glazed shop-font partitions on Level 3 as the basis for valuing the
revised shop-font partitions on Levels | and 2 onthe following grounds
1) The BQsatein hem 3.5.2 was substantial
under-priced because of pricing emo:
2) There ae substantia increases inthe total areas of the shop-frmt partons asa result
ofthe variation
‘Based on the shove, we do not agree to the use of the BQ rate asthe basis for valuing the
‘variation. Ifa “str rte” is not agred, we will not commence the aforesaid variation work
‘Thank you for your atention and your soonest response willbe much appreciated
‘Yours faithfully,
For and on behalf of
FiBuild Construction Co. Lid
nF
Page 8 of 15PRACTICE PROBLEM - DAY 2
uestion No.2 — Valuation of Vs Wi APPENDIX 28
—Smartman Project Management Co, Ltd. -
ate: 30d August 2010
ACCURATE Coneultant
40F, High Rise Commercial Building
288, Garden Road
Cental
Hong Kong
Dex Sirs,
‘Re: Broposed Commercial Development Mong Kel
Reference is made to FtBuid' leer dated 20h Aug 2010 regarding the valuation of ALL
No. 131 (Revision ofthe height of shop-front partitions fom 4m to 45m on Levels 1 and
2,
‘You ae requested to furnish us advice onthe fllowing:-
(1) The contract provisions forthe valuation of variations;
(2) The validity ofthe claim for using “star rates" as sated in FtBuld's eter,
(@) Whether Fithuld i entitled to refuse to carry out the variation work and
The contractual implications if ll the shop-font partitions are deleted from
FiBuild’s Contact and a separate specialist contracior is invited to cary out the
work
‘We would appreciate to receiving your advice a soon as possible.
‘Yours faithfully,
For and on behalf of
Smareman Project Management Co, Td
Sain
Project Menager
[Sub-total: 2 marks for item (1), 4 marks for item (2),3 marks for item (3) and
4 marks for item (4)}
Page 10 0f 15PRACTICE PROBLEM-OAY 2
Question No, 3 Cost Estimate for Potential Variation Work [12 marks]
You are the Consuiting Quantity Surveyor for a school project which is scheduled
for completion within the next 60 days in accordance with the programme.
(Other than the School Block, the school project also includes @ Hall Block. The
Hall Block comprises Stage Area (200m2) on G/F, Multifunction Hall (600m2) on
GIF, Balcony Floor (150m2) (which is patialy at mid-level of Multifunction Hell)
and other areas. (Note: The areas in brackets ae internal floor areas.)
‘The Employer's Project Manager called you this morning and requested for your
cost estimate forthe folowing potential variation of painting work tothe Hall Block.
PY No. 1. Add black colour emulsion paint on concrete surfaces of sofits and
beams above the Stage Area (8.0m high from G/F), the Multi-function
Hall (9.5m high for GIF atthe portion without Baleony Floor), and the
Balcony Floor (4.5m high from Balcony Floor).
(Note: No finishing to concrete surfaces has been allowed in the orginal
design.)
‘Quantites of paint are
(2) 240m2 (for soffits and beams above
Stage Area),
(©) S40m2 (lor soffits and beams above
‘Mutt-function Hall at the portion without
Baleony Floor); and
(©) 180m2 (for soffs and beams above
Balcony Floor),
PV No.2. Change the colour of plastered softs and beams of Balcony Floor
(4.8m high from floor of Multi-function Hall from white colour to black
colour by adding two coats of black colour emulsion paint on top of the
‘completed emulsion paint,
(Quantity of paint area = 180m2
Page 11 of 15PRACTICE PROBLEM —DAY 2
‘Question No, 3 Cost Estimate for Potential Varlation Work (Cont'd)
PV No.3. Change the colour of plastered walls and columns from white colour to
brown colour by adding two coats of brown colour emulsion paint on top
‘ofthe completed emulsion paint
Quantity of paint area = 1,000m2
PV No.4. Change the colour of the galvanized metal balustrades (26m x 1.35
high) at Balcony Floor frm white colour to brown colour by adding one
undercoat and one finishing coat of brown colour synthetic paint on top
of the completed aynthetc pint.
‘As of today, all items of work (including painting work) atthe Hall Block have been
completed except the ime flooring and skiing tothe Stage Area, Multi-function
Hall and Baleony Floor. The scaffoldings to celings have been dismantied. The
scatfoldings to walls have been scheduled for dismanting early next woek. The
internal floors of the Hall Block have been cleared and are ready for installation of
timber looting and skirting after the dismanting ané removal of tho scaffoldings to
vals
The relevant parts of the Bills of Quantities are extracted from the Contract
Documents as per Appendix 3A,
You have checked with the Main Contactors Project Manager and he has
Confirmed that the sad items of potential variation work at the Hall Block are not
catical to the completion of the Works while the remaining works (Including
painting work) atthe School Block are sill being caried out in accordance with the
programme. You are requested by the Employer's Project Manager to provide him
with a cost estimate for the said items of potential variation work for his
consideration by tomorrow. The Employer's Project Manager has also advised that
he would require all these items of potential variation work to be carried out at the
‘same time. Please include the general principles of valuation of variations, your
assumptions and back-up calculations in'your writen reply
Page 1201 18Phat assestuer = oeoreMDER Te
‘Question No, 3 ~ Cost Estimate for Potential Variation Work APPENDIX 3A
BILL NO, 2- PREAMBLES
aioting to Ceiling
Method of Measurement
Painting to calling at height of 3.50 meres to 5.00 metres from the floor has been
given separatoly in one stage and co described. Painting to celing exceeding 5.00
‘metres fom the floor has been given soparataly, tho height boing stated in stagos
of 6.00 metres.
BILL NO. 4.11 - PAINTER
item | Desarpton Guantiy | Unit] Rate [Amount
(rs) | _(HKS)
}INTERNAL PAINTING TO HALL
BLOCK
| Alkaltresisting _primer_ and two
‘coals of emulsion paint on
4.11118 | Plastored walls end columns 1,300 | m2 | 40.00 | 52,000.00
4.11718 | Plastored softs and beams 220 | m2 | 45.00 | 9,900.00
4,111 |Plastered soffts and beams; 200 | m2 | 45.00 | 9,000.00
3.5m~5.0m high
Pr undercoats_and_one
| finishing cost of synthetic paint on
| selvenized metal
4.11110 | Balustrades and the ike (measured| 100 | m2 | 52.50 | 5,250.00
lat on both sides)
Page 13 015PRACTICE PROBLEM - DAY 2
uestion N
Outs [13 marks}
In yesterday's Project Meeting, you were advised that the Employer was in the
process of reviewing the colour scheme of the wall paper to be installed in the
‘common coridors of the office bulking from IF to 20/F. It was also discussed that
the Board of Directors would take about 2 months to finalise the colour scheme of
the wall paper. The Main Contractor also confirmed that there were available
stocks ofthe wall paper inthe market and it would require 3 days fr the delivery of
‘he wall paper tothe ste upon the confirmation ofthe colour scheme.
‘The Architect advised in the same meeting that as all the statutory inspections of
the building nave already been completed to the satisfaction of the various
statutory authorities, the wall paper wil remain as the only outstanding original
Contract work that could not be completed before the handover ofthe building to
the Employer which has been scheduled to take place 4 weeks from now. The
Employer has riteratod in the meating that the handover cannot be delayed or re
scheduled as there wil be tenants moving into stat business by that time
‘The Employer would Ike you, as the Consulting Quantity Surveyor, to advise him
fn the folowing:
(2) Whether the outstanding colour scheme confirmation of the wall paper
‘would be @ valié ground forthe Main Contractor to claim for both extension
of time and direc lass and expense, and what the contract provisions are.
[Sub-total for item (a): 3 marks]
(©) While the Employer considers that the wall paper issue is minor in nature,
“whether coniractually the Employer is entitled to take over the bulding
leaving the Main Contractor to carry out and complete the wall paper at a
later time. If yes, what are the contract provisions? If no, how can the rights
and labities of both contracting parties be secured i the wall paper were to
be carried out ater the handover ofthe building tothe Employer.
[Sub-total for item (b): 5 marks]
Page 14 015PRACTICE PROBLEM DAY 2
‘Question No. 4 Outstanding Work (Cont'd)
©
If the decision on the colour scheme of the wall paper is confirmed by the
‘Board of Directors in the coming 14 days, whether there are any provisions:
under the Contract to have the work completed prior tothe scheduled hand
‘over date of the bullng, given that the Employer is well aware that the
rrormal time required for the dekvery and completion of the wall paper is
approximately 6 weeks. I yes, whal are the contract provisions. fo, what
\would be your advice to the Employer on the arrangement that could have
the work completed on time and the rights and lables of both contracting
parties secured.
[Sub-total for item (c): § marks]
Page 15 015