ANSWER

Q.1 Attempt any FIVE of the following. (10 Marks)

A. Define contract and list four requirements of valid contract.

Ans. Contract is an agreement between the two parties under specific terms and conditions on which
a contractor undertakes the execution of work for certain amount from the owner or from the
department concerned, in the case of Government works.
Requirements of valid contract
A contract should have the following characteristics of contract : 1. It must be in writing. 2. Attested
by witnesses. 3. It can be enforced in court of low. 4. Parties concerned must be competent. 5. Parties
should give free consent for agreement.

B. State four conditions under which the contract is terminated.

Ans. 1. When the tender is not submitted in the particular form sold by the department.
2. Earnest money required is not enclosed along with the tender.
3. When the tender is not signed by the contractor or by his representative having power of attorney
to sign the documents.
4. When the contractor has put some conditions which are not acceptable to the department.
5. The lowest tenderer has become bankrupt, therefore no sufficient amount to finance the work.
6. Bad reputation : The lowest tenderer might have earned bad name in market. This may be due to
non-co-operation, using bad materials etc.
7. Lack of experience : The contractor may not be having the necessary experience of the particular
work to be executed.
8. Inadequate staff and equipment : The contractor may not be having the qualified engineers on site
and lack the special construction equipment required for completion of work.

C. Define Built Operate and Transfer contract and state examples of it.
Ans. It may be defined as a type of arrangement in which the private sector builds an infrastructure
project, operates it and eventually transfers ownership of the project to the government.
Examples : 1. Mumbai - Pune express highway. 2. Baroda - Ahamdabad highway (NH8). 3. Nagpur
Express highway (NH50).
D. State the necessity of corrigendum to tender notice.

Ans. The last date and time for the receipt of complete tenders forms can be extended under the
following circumstances : 1. The time period which the contractors get to prepare the tender is short
and the same is brought to the notice of the concerned authority. 2. Important changes such as
designs or plan itself are considered essential after issuing the tender notice. 3. Tender papers are not
ready in the office. 4. Sufficient number of blank tender forms are not sold.

E. Define the terms i) Bill ii) Voucher

Ans. Bill- Bill is the account of work done, or of supply of materials made, and includes the quantities
of works done or materials supplied, their rates and amount due. It contains full and clear particulars
of the claim or amount due.

Voucher- Voucher is a written document having details and kept as a record as a proof of payment.

F. Differentiate between cost and price in case of building.

Ans. Cost : It is the original cost of construction i.e. cost of material and labour.
Price : It is the amount of money paid to the seller by the purchaser of the property.

G. Define valuation and state two necessities of it.

Ans. Valuation is an art of assessing the present fair value of a property. It is difficult to define the
word ‘value’.
Necessities
 Buying and selling property
 Taxation
 Rent fixation
 Insurance
 Court fees

Q.2 Attempt any THREE of the following. (12 Marks)

a. Draw organizational structure of PWD. State two functions each of any one personnel in the
structure

Ans.
b. Explain the terms i) Administrative Approval ii) Technical sanction iii) Budget provision iv)
Expenditure sanction

Ans. i) Administrative Approval

• For any work or project required by a department, an approval or sanction of the competent
authority of the department, with respect to the cost and the work that is necessary at the first
instance.

• The approval authorises the Engineering department to take up the work.

• Administrative approval denotes the formal acceptance by the department concerned of the
proposal and after the administrative approval is given, the Engineering department (P.W.D.) takes up
the work and prepares detailed designs, plans and estimates and then executes the work.

• The Engineering department prepares approximate estimates and preliminary plans and submits to
the department concerned for administrative approval.

ii) Technical sanction

• Technical sanction means the sanction of the detailed estimate, design calculations, quantities of
works, rates and costs of the work by the competent authority of the Engineering department.
• After the technical sanction of the estimate is given, then only the work is taken up for construction.
• In case of original work, the counter signature of the local head of the department should be
obtained in the plan and estimate before technical sanction is accorded by the Engineering
department.
iii) Budget provision

• After the need of the project and its appraisal, a project report is prepared in which raw materials,
organisational setup and total cost required for execution of project are mentioned.

• Then according to 5-year plan in the budget provision for such type of projects, finance is sanctioned
after the administrative approval of the project.

• The method adopted to have a proper and effective control over the expenses and production cost
in an organisation is called budgeting. Budgeting helps in planning, controlling the various activities.

• It also helps in preparing the programmes for development and expansion of the project.

iv) Expenditure sanction

• Expenditure sanction means concurrence of the government to the expenditure proposed in case of
various works of construction initiated by government.

• Expenditure sanction is to be accorded by ministry which ensures funds for the project or the work.

• Expenditure sanction can be exceeded upto 10%, beyond which revised sanction of expenditure
sanction is to be taken.

• Expenditure sanction is the allotment of money to meet the expenditure of construction work
initiated by the ministry of P.W.D. expenditure sanction is accorded by finance ministry of state
government.
c. Explain the procedure of initiating the government work by PWD.

Ans. P.W.D. means public works department. This is a state government run department which looks
after construction of public utility services like roads, gutters, culverts, government buildings and
maintenance of all such structures.

• For the purpose of keeping control on necessary construction activities are govern by demand, need,
administrative approval, technical sanction and budget provisions in the financial year.

• All types of construction of structures is represented by local body or M.L.A. in the state assembly
in front of P.W.D. minister and after studying the feasibility and need of the project its approval is
given.

• Funds are allocated in the budget for the project which is technically sanctioned.

d. List out four types of engineering contract. Explain negotiated contract in detail.
Ans. Following are the different types of contracts :
1. Lumpsum contract
2. Item rate contract
3. Percentage rate contract (a) Cost plus percentage rate contract (b) Cost plus fixed fee contract (c) Cost plus fluctuating fee contract
4. Labour contract
5. Demolition contract
6. Target contract
7. Negotiated contract
8. Material supply contract
9. Free contract
10.All-in contract
11.Sub-contract
12.D.G.S. or D. Rate contract
13.Engineering procurement construction contract (EPC)
14.Annuity contract.
Negotiated contract
• When a contract is given by negotiation, it is known as negotiated contract.
• In such contract, there is no open competition and the owner negotiates with selected contractors,
after studying their previous experience and reputation.
• There are less chances of dispute because competition is restricted to a limited persons.
• Such contracts are not suitable for P.W.D., but, in special case, when the time of completion is of
prime importance, then it can be adopted by P.W.D.

Q.3) Attempt any THREE of the following. (12 Marks)

a. Enlist the classes of contractors on the basis of financial limits in PWD
ans. For general works :
Class I - without limit
Class II - upto 750 lakhs
Class III - upto 300 lakhs
Class IV - upto 150 lakhs
Class V - upto 50 lakhs
Class VI - upto 15 lakhs
Class VII - upto 7 lakhs.
Class VIII - upto 3 lakhs.
Class IX - upto 2 lakhs.
b. Justify the importance of BOT contract on the basis of objective and advantages.
Ans. • It may be defined as a type of arrangement in which the private sector builds an infrastructure
project, operates it and eventually transfers ownership of the project to the government.
Objectives of B.O.T. 1. To develop infrastructures in an area when government does not have
sufficient funds for development of an area. 2. To construct facilities like good roads, water supply
schemes, bridges, express highways in partnership with private sector. 3. To maintain roads, bridges,
tunnels in good condition. 4. To provide facilities to the public at reasonable rates of toll and taxes for
the work completed on B.O.T. basis.
Advantages of B.O.T. 1. Fast development of infrastructure is possible. 2. Public gets facility which
they would not have got after so many years. 3. On completion of project, the expenditure incurred
will be collected by of toll and this amount is used for maintenance of project.
4. Quality of work is good since public, private partnership is there for construction of project.

c. Explain the procedure of arbitration used in resolving the disputes between contractor and user.
State two advantages of it.
ANS. • A method of settling the dispute between owner and contractor or department and contractor
is called arbitration and the person who settles such dispute is called arbitrator.
• In the event of disputes arising during the progress of work or after the completion of work should
be referred to the independent arbitrator.
• If any dispute arises, the injured party will serve a notice to the other party demanding arbitration,
within 30 days after the dispute has arisen. The arbitrator will fix up date and timing for hearing the
case.
• Then upon hearings the case in detail he will give his award which is final and binding on both the
parties. The arbitration clause include the provision authorising the arbitrator to award compensation
to the party.
• The arbitrator shall have full powers to open up, review and revise any certificate, opinion, decision
and to determine all the matters of dispute referred to him. The cost of the proceedings and
arbitration fees are to be shared by both the parties equally as agreed upon earlier.

d. Explain the situations when lowest tender is neglected.

ANS. 1. When the tender is not submitted in the particular form sold by the department. 2. Earnest
money required is not enclosed along with the tender. 3. When the tender is not signed by the
contractor or by his representative having power of attorney to sign the documents. 4. When the
contractor has put some conditions which are not acceptable to the department. 5. The lowest
tenderer has become bankrupt, therefore no sufficient amount to finance the work. 6. Bad reputation
: The lowest tenderer might have earned bad name in market. This may be due to non-co-operation,
using bad materials etc. 7. Lack of experience : The contractor may not be having the necessary
experience of the particular work to be executed. 8. Inadequate staff and equipment : The contractor
may not be having the qualified engineers on site and lack the special construction equipment
required for completion of work.

Q.4) Attempt any THREE of the following. (12 Marks)

a. Differentiate between secured advance and advance payment on the basis of definition and mode
of payment.
b. Define indent and invoice. Rule out the Form no.7 of indent and invoice.
ANS. • The materials from stores are procured by the process of indenting. Materials from stock are
issued on demand in indent form prepared by S.D.O. Indent form is in triplicate consist of counter foil,
indent and invoice; and is kept in a book serially numbered.
• The counterfoil and indent are filled by indenting officer and along with invoice, it is sent to issuing
officer. The issuing officer issues the material available in stores and then fills the invoice as the actual
goods issued. He then returns the invoice to indenting officer who signs and returns the same to
issuing officer as a token of acknowledgment of the receipt of goods.

c. Prepare NMR-Part- I.as per the details given below .The NMR is maintained from Monday 22nd
July 2019 to Sunday 28th July 2019. Weekly off is on Wednesday
i)Gajanan Shivaji (mason) Rs. 600 per day Absent on 25h A.N.
ii)Kasim lqbal(mason) Rs. 600 per day Absent on 25th B.N.
iii)Seetabai Morape (Female labour) Rs.400 per day present all days
iv)Dagdu Vithoba (male labour) Rs. 400 per day Absent on 26"
v) Vilas Bapurao (male labour) Rs.400 per day present all days
ANS.

d. Describe the points to be observed while drafting specification of an item

ANS. 1. Simple and clear language should be used. Rules of grammar should be adhered to. The
wordings should give clear meaning. 2. The specifications should be brief. Long sentences should be
avoided. 3. The specifications should be fair to all parties. Practical limitations of materials and
workmanship should be kept in view. 4. When old or standard specifications are used for the
preparation of new set, care should be taken to delete inapplicable material. 5. As the specifications
are the legal documents, they should be concise as far as possible, because fewer words will involve
less risk or legal difficulties.

e. Mention the types of specification. Explain manufacturers specification

ANS. 1. Brief specifications : General specifications give the nature and type of materials which are to
be used in the different items of works. In other words, it is the brief description of various items of
work, specifying the materials, qualities, proportions etc. These give the general idea about the whole
work, therefore, it is known as general specifications. 2. Detailed specifications : The detailed
specifications describe the item of work in details, accurately and complete in all respects in relation
to the drawings of the works. 3. Standard specifications: Usually, the specifications are standardised
for most of the works, by the departments. These standard specifications are numbered. After
standardising the specifications, it is not necessary to write detailed specifications, with all the
contract documents. While preparing the contract document, only the serial numbers of standard
specifications are written. This saves time, labour and other expenditures. For example, the Bureau of
Indian Standard has prepared volumes of specifications for a wide variety of materials. These standard
specifications are also revised from time to time to include changes in technique while preparing the
contract document. 4. Manufacturer’s specifications: Manufacturers of building materials or product,
publish specifications of their products. These are in the form of Standard specifications or Guide
specifications. 5. Contract specifications : The specifications written for a particular construction
project given on contract to accompany the detailed drawings are called contract specifications. 6.
Guide specifications : These are prepared to serve as guidelines for preparing project specifications.
It helps the engineer-in-charge to write detailed specifications.
Q.5) Attempt any TWO of the following. (12 Marks)

a. Draft a tender notice for construction of Girls hostel building at your polytechnic costing Rs. 1.2
crores, Assume suitable information if required.

ans. REFERENCE ANSWER

b. Explain six necessities of valuation.

ANS. •Location : Buildings, real estate and properties, located in commercial and market areas, hold
higher value than their counterparts in the residential areas. It is common to find brokers quoting a
higher price for buildings in well developed and approved colonies and areas as against those in the
lesser developed and upcoming areas. Similarly buildings which are constructed on freehold land tend
to command a higher valuation than those on leasehold plots.
• Amenities : The valuation of properties with better infrastructural capabilities and modern amenities
are costlier than those which fail to provide proper electric connections, telephone lines, water
sewerage facilities and all other infrastructure such as community centers, children parks, swimming
pools, gymnasiums, parking lots or general stores. Valuation of property is clearly based on the
availability of necessities and facilities connected with comfortable housing.
• Infrastructure : Infrastructural development is one of the most important factors which influence
real estate prices in India. The presence of roads, airports, flyovers, malls and bus terminals and other
facilities in the vicinity of the property, helps in value escalation of the same. Commercial Real Estate
: Places such as Noida, Gurgaon, Pune, Hyderabad, Navi Mumbai and Andheri-Borivali in Mumbai, are
striking examples of commercial development which have affected the valuation of property in these
areas. The development of malls, IT offices and Special Economic Zones near residential areas help in
cutting down the time and energy wasted in commuting to workplaces and increase the price of real
estate in the area.
• Disposable Income : Properties which are located in agricultural areas or those dominated by
manufacturing units attract a lower price than those situated near the IT hubs. The valuation of
property is in direct proportion to the quantum of disposable income in the hands of the purchaser or
the majority of population in that area.
• Availability of land : In places where there is ample land available for residential purposes or
development of real estate, the graph reflecting the valuation of property shows a slower rise than in
areas where land is comparatively scarce.
• Demand and Supply : Demand for real estate in a particular area is inversely proportional to its
supply. As the supply or availability of real estate decreases, the valuation of property increases.
Changes in population are the key drivers for demand. Along with an increase in the number of people
inhabiting a particular area, the popularity of a particular locality in terms of people wanting to be a
part of the locality also increases its price.
• Affordability : Affordability refers to the cost incurred by the owner in the process of enjoying or
retaining a property. In layman's term, it is the term which establishes a relationship between interest
rates, property prices and wages. If any of above three variables reach their maximum level in a
particular area, then the inhabitants start looking towards a better lifestyle elsewhere.
• Structure : The valuation of property is dependent on the specifications of materials used, layout,
design, durability and life cycle of the building. The quality and cost of materials during construction,
size, current rates of labor, frontage and other physical attributes such as roof covering, height of the
building, type of foundation, waterproofing and plinth level, also affect the price of a particular
property.
• Customization : The cost of real estate becomes higher in the event of builders undertaking
customization of residential space on the lines of the purchaser's requirements. For example, some
investors may want landscaped terraces or verandahs connected with their apartments, upgraded
kitchens, specifically designed internal stairways in duplex apartments, higher quality paint and
flooring, or other user defined changes. This leads to an escalation in the ultimate price charged to
the buyer.

c. Differentiate between Depreciation and Obsolescence on the basis of definition, recovery of

amount and methods of calculation.

Q.6) Attempt any TWO of the following. (12 Marks)

a. Explain the detailed procedure of submission of tender along with the documents.
ANS. Envelope I : It contains, 1. Covering letter to tender. 2. This envelope contains earnest money
deposit in the form indicated in the notice of invitation to tender. 3. Income tax clearance
certificate. 4. Solvency certificate from bank. 5. Certificate of registration as contractor. 6. Details
of technical personal as contractor. 7. List of work of similar nature and magnitude carried out by
tenderer. 8. Details of plants and machinery available. 9. Complete details of work in hand at the
time of submission of tender. 10. Details about firm. Covering letter to tender. Envelope II : This
envelope contains the priced tender form. • Cover : It contains all above two envelopes and it is
properly sealed and endorsed on outside face tender for name of project.
 B. Draft the detailed specification for R.C.C. slab in c.C.1:1.5:3.
ANS. 1. RCC (1:1.5:3) for slabs, beams, lintels and staircase:
Proportion- The proportion of cement concrete shall be of one part of cement, two parts of sand
four parts of aggregates by volume.
Cement- The cement shall be used in this work shall comply with the standard requirements. Fine
Aggregate-The sand to be used shall be clean and coarse and shall be free from any organic or
vegetable matter. The sand shall be washed, if there is any trace of earth in it.
Coarse Aggregate- The coarse aggregate shall consist of 67% of black trap metal carrying in size from
20mm to 40mm and 33% of black trap metal carrying in size from 20mm to 6mm. The coarse
aggregate for the concrete work shall be clean and free from impurities such as earth, coal dust and
other organic materials. The unclean aggregates shall have to be screened and washed before use.
Water- The water to be used in concrete work shall be clean and fresh.
Reinforcement- All reinforcement shall be of steel which shall comply with the standard
requirements. All bars shall be placed as per design given by the engineer and utmost care shall be
taken to keep them in the same position while packing concrete around them. Before laying the
concrete, the reinforcement shall be got approved by the engineer.
Centering- The centering for the concrete work shall be sufficiently strong and rigid and in good
condition so as to turn out a good smooth surface. The props to be used for centering shall be of
timber bullies. The spacing of bullies shall not be more than 120cm centre to centre. The bullies shall
be supported at the base on 40mm thick wooden plate having area not less than 0.10sq m.
The surface of formwork shall be oiled before placing of concrete.
Mixing- The mixing of concrete shall be done in a mechanical mixer or by hand operations
depending on the quantity of the concrete which shall be decided by the engineer. In the former
case, the mixing drum shall be turned at least for 1.5 minutes after all the ingredients are added and
the drum shall be completely emptied every time. The concrete from the drum shall be placed on a
water tight platform.
Laying and Curing- Before start laying of concrete in position; the centering shall be well watered.
The concrete shall be laid in forms and tapped in such a way that no honeycomb surface appears on
removal of the forms. The cement concrete shall be kept well watered for at least 20 days.
Finishing of Exposed surface- All exposed surfaces of the concrete work shall be finished with 12mm
thick cement plaster of sagol finish and three coats of white or colour was shall be applied on these
exposed surfaces of concrete.
2. 20mm thick external plaster in CM (1:4)
Preliminary- The work of sand faced cement plaster shall be carried out after masonry joints are
raked out to a depth of 20 mm and the walls are well watered.
Procedure for First Coat- The first coat for sand faced cement plaster shall be of cement mortar in
proportion 1:4 one part of cement to four part of clean, coarse and angular river sand by volume.
The mortar of one cement bag shall only be prepared at a time and it shall be prepared on a water
tight platform or in a steel trough. The mortar shall be consumed within 30 minutes after adding
water. The first coat of plaster shall be uniformly applied in the best workmanship manner after
watering the surface of walls in advance and putting dots and preparing screeds for maintaining
uniform thickness of plastered surface. The thickness of first coat shall be nowhere less than 12 mm,
the first coat shall be well watered at least for 7 days. The first coat shall be provided with zigzag
lines such that the first coat adheres well with the second coat.
Procedure for Second coat- The second coat of sand faced cement plaster shall be carried out in CM
of proportion 1:1 and shall be of thickness 8mm. The second coat shall be applied on the first coat at
least after 7 days of completion of first coat. The second court shall give uniform grey colour to the
whole structure or any other colour approved by the engineer. The sand to be used in the mortar for
the second coat shall be perfectly screened so that sand of uniform size shall appear on the surface.
The sponge shall be used in the second coat and it shall be applied when the second coat is wet and
it shall be so worked that the density of the sand grains appearing on the surface shall be equal and
uniform. After completion of the second coat, the surface shall be kept well watered at least for 15
days
Measurement- The payment shall be made for superficial are covered.

C. A person purchases a plot measuring 150sqm at the rate of Rs. 3000/sqm. He constructs a building
having builtup area 70sq.m. The cost of construction is Rs. 6500/sq.m. He desires to have net income
of 12% on building cost and 8% on cost of plot. Assume outgoings as 30% of gross rent, Rs.1200 per
year as sinking fund installment, Rs.500per year as repairs and maintainance. Calculate the suitable
rent per month for a residential bunglow.
REFERENCE Solution :
Cost of land = 1000 × 900 = 9,00,000/-
Cost of construction = 850 × 70 = 59,500/-
Net returns on cost of land = 7% of 9,00,000/- = 7 /100 × 9,00,000 = 63,000/-
Net return on cost of construction = 8% of 59,500/- = 8 100 × 59,500/- = 4760/-
Net income = 63000 + 4760 = 67760/-
Let gross rent = x ∴
Gross rent = Net rent + Outgoings
x = 67760 + 25% of x + 3000
x = 67760 + 25 100 of x + 3000 0.75 x = 70760
x = 94246/- per annum
Monthly rent = 943346 12 = ` 7862.22