When estimating equipment operating cost, which item is most directly related to the machine's actual running time?
Correct answer: D. Fuel consumption
- A. Tender advertisement cost
- B. Land acquisition cost
- C. Architectural design fee
- D. Fuel consumption
Explanation
Fuel is consumed as equipment operates, so its cost is commonly related to machine hours or output. Land, design, and tender advertisement costs are project or administrative costs rather than running costs of the equipment.
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About Construction Management and Estimation
Construction management covers planning, scheduling, resource control, contracts, procurement, site organisation, safety, quality assurance and project documentation. Estimation includes quantity take-off, rate analysis, bill preparation, valuation and cost control, with attention to the difference between direct and indirect costs and between an estimate, a tender and a final account.
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