StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...

Change Order pricing - Case Study Example

Cite this document
Summary
It will take a lot of time to deconstruct then rebuild the electronic devices than to assemble it directly. Hence, the working hours of the laborers will be longer than the usual time they need to finish the process.
Answer: The buyer may agree to the…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER94.6% of users find it useful
Change Order pricing
Read Text Preview

Extract of sample "Change Order pricing"

Download file to see previous pages

Some states, particularly Washington does not require the local government “to pay contractors for higher labor rates on change orders” (Sonntag 12). 5. If a composite labor rate, developed on the basis of the overall mix of work on the entire contract, was used in the original estimate, should the same composite rate be used in pricing the work associated with the change? Answer: Yes. Since the man hours are already extended because of the change, charging the same composite rate for the additional work to be done is justifiable to be applied.

The paid longer working hours will already take care of the cost of the additional work needed. Answer: Yes. The contract between the contractor and the buyer has already been established long before the change so the workers assigned for the said job have committed their time to the length of the contract. Therefore, the workers are entitled to be paid throughout the whole time that the agreement is in effect regardless of any downtime as a result of the change as requested by the buyer. Answer: Yes.

The contractor can charge the difference to the cost of change in order to recover the losses brought by the downtime. Since the workers are committed to the length of the contract between the contractor and the Air Force, any downtime as caused by the change will not affect the labor rate that they are entitled to receive. Answer: Yes. It is appropriate to apply a learning curve, or the “period of orientation to become familiar with changed condition” (“Change Order Protocol” 4) to work affected by the change because of the new skills that the workers imbibed through the change. 9. Is the contractor entitled to claim the costs associated with the affect of the change on the rate of improvement for the changed work for the units on which none of the changed work has been performed?

Answer: Yes. Depending on the degree

...Download file to see next pages Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Change Order pricing Case Study Example | Topics and Well Written Essays - 1000 words”, n.d.)
Change Order pricing Case Study Example | Topics and Well Written Essays - 1000 words. Retrieved from https://studentshare.org/business/1601651-change-order-pricing
(Change Order Pricing Case Study Example | Topics and Well Written Essays - 1000 Words)
Change Order Pricing Case Study Example | Topics and Well Written Essays - 1000 Words. https://studentshare.org/business/1601651-change-order-pricing.
“Change Order Pricing Case Study Example | Topics and Well Written Essays - 1000 Words”, n.d. https://studentshare.org/business/1601651-change-order-pricing.
  • Cited: 0 times

CHECK THESE SAMPLES OF Change Order pricing

Congestion Pricing in New York City

Your Name Your Prof's Name and number Introduction Congestion pricing refers to the practice of charging motorists more for using a roadway/bridge/tunnel during periods of the heaviest use.... The idea behind congestion pricing is that higher price of usage would lead to lower demand for usage thus relieving traffic and pressure on the infrastructure where it is applied.... Singapore was the first to introduce a congestion pricing system in 1975....
5 Pages (1250 words) Term Paper

The Strategies of Zara and Coca-Cola Corporation

Business Samat pricing Name Date SECTION 1 The term ‘group pricing' is used when pricing varies according to different groups of consumers.... An example of group pricing would be when senior citizens or children get a discount on goods and services.... ‘Channel pricing' is the practice of charging separate prices for an identical product, as determined by the channel through which it is sold.... ‘Regional pricing' refers to the practice of pricing items differently in different regions, sometimes to better match local economies....
3 Pages (750 words) Essay

Economic Rationale for Road Pricing

“The economic rationale for road pricing is compelling”, Institute for Fiscal Studies, May 2012.... Contents Introduction 3 Road Transport and economics 3 The report 4 Conclusion 6 References 8 Introduction The pricing of roads is often cited as the mechanism in order to manage demand in the theoretical literature starting from Pigou in the year 1920.... The European Union is studying the marginal cost of pricing in the arena of transportation for about a decade now....
6 Pages (1500 words) Essay

Investigation of the Performance of Tablet Progress

SLP 3 - Time Warp Name Institution SLP 3 - Time Warp The outcome and pricing and R&D allocation indicate a clear illustration of the beginning of a New Year.... The pricing allocation thus tabulated as follows.... The table above is a clear indication of Sally's pricing and R&D product growth decision for the years 2012 to 2015; it shows the progress in its products X5, X6 and X7.... hellip; Depended on these, I projected performing a simulation in order to generate a financial performance assessment give an essential solution for the provision of additional data....
5 Pages (1250 words) Essay

The Influence of Economic in Society

The paper "The Influence of Economic in Society" states that elimination of all the prevailing issues such as poverty, unemployment and illiteracy could make India a modern state after some time, it would then be much considerable to ask for having high quality non patented products.... hellip; Because firms supplant markets selectively rather than comprehensively, there is a need to ascertain the limits of firms....
8 Pages (2000 words) Case Study

Factory Gate pricing

The author of the article casts light on the issue of Factory Gate pricing.... Admittedly, Factory Gate pricing means the sale of goods to the retailer occurs further up the supply chain right at the manufacturer's exit.... … Factory gate pricing gives the manufacturer the scope to set the rates at the production point.... The factory gate pricing give the option to reduce the investment cost on maintaining the inventory for the distribution centre at times as the retailer will have he option to transport the goods directly to the shops....
7 Pages (1750 words) Essay

The Impact of Transfer Pricing on Decision Making and Control

Transfer pricing is a term used to describe all aspects of inter-company pricing arrangements between related business entities,… Inter-company transactions across borders are growing rapidly and are becoming much more complex.... As a rule transfer pricing refers to the pricing of goods and services within a multi-divisional organization, particularly in regard to cross-border transactions.... This kind of pricing is used by a company (as a rule by a multinational corporation) to avoid taxes, customs duty, and currency control, to increase share in joint ventures, and to keep back real profit of operations....
10 Pages (2500 words) Essay

Organisation Theories Theories of Change and Change Management

The success of any organization depends on how well the organization is able to manage change in order to refocus its operations to suit the existing business environment, as well as the expected future changes in the business environment.... From the essay "Organisation Theories of change and change Management", it is clear that successful organizational management is complex because it entails balancing an organization's internal structures and systems with the forces of the external business environment....
12 Pages (3000 words) Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us