Question

An estimator receives an average quote fora traffic control subcontractor of $1570 for the job duration. If the lowest bid is 4 % under average, and the highest bid is 12% above average, what is the cost difference between lowest and highest bid?

Answer 1

The cost difference between lowest and highest bid $ 251.20

Explanation:

Given,

The average quote for the traffic control subcontractor = $ 1570,

Also, the lowest bid is 4 % under average,

That is, lowest bid = average quote - 4% average quote

= 1570 - 4% of 1570

`=1570-(4* 1570)/(100)`

`=1570-(6280)/(100)`

`=1570-62.80`

`=\$1507.2`

While, the highest bid is 12% above average,

That is, the highest bid = average quote + 12% average quote

= 1570 + 12% of 1570

`=1570+(12* 1570)/(100)`

`=1570+(18840)/(100)`

`=1570+188.4`

`=\$1758.4`

Hence, the cost difference between lowest and highest bid = $ 1758.4 - $ 1507.2 = $ 251.20