Lesson 32 Review

1. Markup is a function of cost, while margin is a function of _________.

   1. billing

   2. price

   3. job overhead

   4. indirect costs

2. When adding profit, it must be the same amount for direct and indirect costs.

   1. True

   2. False

3. What options do you have to enter profit on the PBS?

   1. % Mark-Up, % Margin, and Fixed Dollar Amount

   2. % Mark-Up or % Margin

   3. Fixed Dollar Amount Only

4. Once distributed, you still can adjust your pricing on pay items manually as needed.

   1. True

   2. False

Lesson 32 Summary

As a result of this lesson, you can:

• Add job markup (profit)

• Use tools on the PBS form to review your estimate

• Spread Target Price over pay items

• Make bid adjustments