Oregon Construction Contractors (CCB) Practice Test

Providing accurate project estimates is an essential practice in the construction industry and is considered fundamental to a successful business operation. Accurate estimates allow contractors to set realistic budgets, make informed decisions, and deliver projects within the specified constraints. This practice not only fosters trust between contractors and clients but also minimizes the risk of financial losses due to underbidding or overbidding.

In contrast, the other options involve practices that can lead to ethical issues and harm relationships within the industry. Bid peddling, for example, refers to the act of soliciting competing bids after a contractor has already submitted a proposal, which undermines fair competition. Bid shopping involves revealing a subcontractor's bid to other subcontractors to encourage lower bids after the bid has been awarded. Both practices can damage the integrity of the bidding process. Scope underbidding describes the situation where a contractor significantly underestimates project costs to win a bid, often leading to financial difficulties and compromising project quality.

In summary, providing accurate project estimates is a business practice that supports transparency and effectiveness, making it a cornerstone of good business practice in the construction industry.