CSLB C-33 Painting & DecoratingPlanning and EstimatingMedium
A painting contractor is preparing a bid for a project where the client requires a 'unit price' for additional square footage of wall painting beyond the initial scope. The contractor's current bid for similar work is $3.50 per square foot, which includes $2.00 for labor, $1.00 for materials, and $0.50 for overhead and profit. If the client requests a unit price for 'painting only' (excluding materials, as client will provide paint), how should the contractor adjust the unit price?
- A$3.00 per square foot
- B$2.00 per square foot
- C$1.50 per square foot
- D$2.50 per square foot
Show answer & explanationAnswer & explanation
Correct answer: D. $2.50 per square foot
If the client provides materials, the contractor's unit price should reflect only the labor and the associated overhead and profit. The original total unit price is $3.50 ($2.00 labor + $1.00 material + $0.50 O&P). Removing the material cost of $1.00 leaves $2.50 ($2.00 labor + $0.50 O&P).
Why the other options are wrong
- A. This price would be too high as it includes more than just labor and O&P.
- B. This only includes labor, omitting the overhead and profit that should still be applied to the labor component.
- C. This price is too low, likely omitting a portion of the labor or O&P.
Unit Price Adjustment
Modifying a per-unit cost when specific components (e.g., materials, labor) are removed or added to the scope of work.
- Requires breaking down original unit price components.
- Overhead and profit often apply to remaining components.
- Ensures fair pricing for changed scope.
Memory trick: Unit price is a recipe: remove an ingredient, adjust the total.