The ____ contingency is an amount that is added to the cost estimate which reflects the price increases that are anticipated over the time between the date of the analysis being used and the time when the new project is constructed.
A)overage
B)escalation
C)satisfaction
D)appreciation

Question

Quizplus · Accepted Answer

Escalation contingency is the amount added to cost estimate to reflect the anticipated price increase over time. Overage contingency is an additional amount added to the cost estimate to accommodate unforeseen expenses. Satisfaction contingency is not a valid term in this context, and appreciation contingency is not applicable to cost estimation.

The ____ Contingency Is an Amount That Is Added to the Cost