For cost estimates,when project bidding is used,underestimating the cost of a job results in _____.
A)bids that are too low
B)probability of losing money
C)higher probabilities of the bid being accepted
D)both a and b
E)all of the above

Question

Quizplus · Accepted Answer

Underestimating the cost of a job results in bids that are too low, which increases the probability of losing money on the project if the bid is accepted. It also increases the likelihood of the bid being accepted because it may be more competitive compared to higher, more accurate bids. Therefore, all of the options are correct consequences of underestimating job costs in project bidding.

For Cost Estimates,when Project Bidding Is Used,underestimating the Cost of a Job