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The direct and indirect costs estimated by a contractor for bidding a project are Rs. 1,60,000 and Rs. 20,000, respectively, If the mark up applied is 10% of the bid price, the quoted price (in Rs.) of the contactor is
  • a)
    1,82,000
  • b)
    1,96,000
  • c)
    1,98,000
  • d)
    2,00,000
Correct answer is option 'D'. Can you explain this answer?
Most Upvoted Answer
The direct and indirect costs estimated by a contractor for bidding a...
Direct costs Rs. 1,60,000
Indirect costs Rs. 20,000
Mark up applied is 10% of the Bidprice
Bid price = Direct cost + Indirect cost + Markup
Bid price = direct cost + Indirect cost + 10/100 × Bid price
Bid price (1 - 10/100) = DC + IC
BP =
= = Rs. 2,00,000
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Community Answer
The direct and indirect costs estimated by a contractor for bidding a...
Given:
Direct cost = Rs. 1,60,000
Indirect cost = Rs. 20,000
Mark up applied = 10% of the bid price

To find:
Quoted price of the contractor

Solution:
The quoted price of the contractor can be calculated by adding the direct and indirect costs and the mark up.

Step 1: Calculate the total cost:
Total cost = Direct cost + Indirect cost
Total cost = Rs. 1,60,000 + Rs. 20,000
Total cost = Rs. 1,80,000

Step 2: Calculate the mark up:
Mark up = 10% of the bid price

Let the bid price be 'x'.
Mark up = 10% * x

Step 3: Calculate the quoted price:
Quoted price = Total cost + Mark up
Quoted price = Rs. 1,80,000 + 10% * x

But we are given that the quoted price is equal to the bid price.

Therefore, Quoted price = Bid price = x

So, x = Rs. 1,80,000 + 10% * x

Step 4: Solve the equation:
x = Rs. 1,80,000 + 0.1x
0.9x = Rs. 1,80,000
x = Rs. 1,80,000 / 0.9
x = Rs. 2,00,000

Hence, the quoted price of the contractor is Rs. 2,00,000, which is option 'D'.
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The direct and indirect costs estimated by a contractor for bidding a project are Rs. 1,60,000 and Rs. 20,000, respectively, If the mark up applied is 10% of the bid price, the quoted price (in Rs.) of the contactor isa)1,82,000b)1,96,000c)1,98,000d)2,00,000Correct answer is option 'D'. Can you explain this answer?
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The direct and indirect costs estimated by a contractor for bidding a project are Rs. 1,60,000 and Rs. 20,000, respectively, If the mark up applied is 10% of the bid price, the quoted price (in Rs.) of the contactor isa)1,82,000b)1,96,000c)1,98,000d)2,00,000Correct answer is option 'D'. Can you explain this answer? for Civil Engineering (CE) 2024 is part of Civil Engineering (CE) preparation. The Question and answers have been prepared according to the Civil Engineering (CE) exam syllabus. Information about The direct and indirect costs estimated by a contractor for bidding a project are Rs. 1,60,000 and Rs. 20,000, respectively, If the mark up applied is 10% of the bid price, the quoted price (in Rs.) of the contactor isa)1,82,000b)1,96,000c)1,98,000d)2,00,000Correct answer is option 'D'. Can you explain this answer? covers all topics & solutions for Civil Engineering (CE) 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for The direct and indirect costs estimated by a contractor for bidding a project are Rs. 1,60,000 and Rs. 20,000, respectively, If the mark up applied is 10% of the bid price, the quoted price (in Rs.) of the contactor isa)1,82,000b)1,96,000c)1,98,000d)2,00,000Correct answer is option 'D'. Can you explain this answer?.
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