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QSC 345
QSC 345
3 DETAILED ESTIMATES
20 to 40 1% 1.5%
40 to 80 20
60
The balance 10% indicates tthe net scrap
value
Total 90%
on
of the uscful period.
dismantling.
Q.28. Describe the different methodseof valuation.
Or (R.CGPV.
GP.V., June ,
Explain various methods of valuation. (R.GPV, Jne
Or 2010, Dec. 2
What are the various thods of valuation ? Explain .
any one in
Or (R.GP.V, Dec. 2014detail
What are the various methods of valuation ?
Or (R.GP.V, JJune
(R.GPV. 2016
Describe various methods of valuations.
Or (R.GP.V, Dec. 2016
Explain in brief diferent methods of valuation of property
(R.GP.V, May 2018
Ans. The different methods of valuation are given below
)Rental Method of Valuation - In this method, the net rema
i)
income is determined after deducting all outgoings from the gross ent aa
year's purchase is found out after adopting the current bank interest. Them
valuation of a property is calculated by multiplying the net rental income with
the year's purchase. This method is applicable only when the rent is known or
probable rent is worked out by enquiries.
Vahmtion 201
by ii) Direct Comparison with
the
Capital Value - This is the
and direct method of valuation. nis method
tio may be adonted simplest
most
taime
ach property is uniquc so that
ihey Cun never be alike.
However,
articular property may be adjusted for differences hctween value of
the property
of aa
womeme which it may fetch after its renovation. The net income is mulupiicu
n below- tar's purchase tto obtain the The total
n e n Sed to be
made anticipated capitalized value. expenses
the
in rencnovation should be calculated and the actual cost ot
method,
t r o mt h epross property mbined with the new expenses should be
T e n tbankinteres
net
is
rent Method of Valuation In this method, the
-
Lne
When
t h e
divided into four parts - (a) walls, (b) roofs, (¢) tloor and
and windows,
and lirstly the cost o f each parts should be calculatcu
184 Quantity Surveying & Costing (V-Sem.)
sinking fund
n Number of years required to accumulate the
The first anual Vahafin 185
he
second sinking fund, «o that
rcdemption offor Rs.Rs(n-stalment
redemption -1,Ss
would
Consequently, years
1
00 and so on accumulate mterest
the firstwould Also
anual for
the
second to 1,(14 ih-nstalment
be
instalmet won
le the (n yeara,
inking fund for
ete. Whencewonid accumulate anmoumt to l(1
(1i +(1iy1-1
or cut in parts are called scrap value. The materials of special purpose generally
have lower scrap value. For example, a timber structure will have a greater
scrap value than a corresponding R.C.C. structure. Similarly, the scrap value
of a corrugated galvanized iron sheet will be more than a corresponding
asbestos cement sheet. The scrap value is also known as demolition value.
Valuation 187
MostDanks will not finance Banks finance freehold properties
a
property
if
less than 30the lease period is casily
years.
Q.17. Dierentiate between
scrap value and salvage value.
A as. The
difference between (R.GP.V, Dec. 2015)
Vo. scrap vavalue and salvage value is
Scrap Value given below
Scrap value is Salvage Value
counted in the
depreciation
property the calculation
at of Ordinarily
a
in the
the salvage value
factor
end of the depreciation
life and usually it is calculation
useful omitted by accounting is
as on
lump-sum basisconsidered value.
of the cost of the or 10%
scrap
structure.
) Scrap value is the
dismantled
sale value of materials Salvage value is the estimated
of an
asset at the end of its value of an asset as a
useful
life. without dismantling atwhole
the end
of its useful
life.
i) It is not counted as a minus There are times when it
quantity. is a
minus quantity.
v) Scrap value of an asset is
Salvage value
merely sale of scrap and has the fom of a deposition may take|
sale of the asset
alimitation. to
a
purchaser who will continue to
use it for the function for
which it
was
originally designed. In this
case salvage value dominate scrap|
value in the depreciation calculation.
Q.18. Discuss in detail the factors which effect the value of a property-
(R.GP.V, June 2013
Ans, Value of a property may rise or fall from time to time. Following a
lactors that affect the market value of a property
(i) Rise in Population The demand for land, building a
peries will incre
eswill increase, if there is a rise in population due to growth ot
sthies or influx or by multiplication.
Forces of Demand and Supply-lfnumber ofbuyers ava
ale are val
less
than the number of properties for sale, then the
"enly
nly reduces and vice-versa.
of price
hea ratei) Cost ofConstruction Because of quick change
-
of
depreciation, the present cost of construction affectsthe=
(-Sem)
Suveying
& Costing
Quantity
166 site.
Lighting al depreciation of
of tools
tools and plants
(d) and
Repairs
(c) investment.
Interest on
(0 on
advances.
(g)
Losses
ofestablishments, plants
tools and
insurance etc.
Mobilization
(h) compensation,
Workmen's
(i)
overheads. (R.GPV, Dec. 01
Q12. Explainjoh
Ams. ReferQ.II(ii). ? Explaln its
meed and u s
contingencles
What is
Q.13. (R.GPK, Dec. 2011, June 2
Or
(R.GRK, Dec. 2015, Nov.
Define comtingencies.
Or 201
Discuss contingencies
in an
estimate. (R.GPV, Dec. 201n
Or
during preparation
the estimate. Contingencies
of a
which is overlooked word contingencies is derived from I
5% to 10%. The
is usually about chance oceurrence or Somethi
word con (with) and tangere
(to touch) means ing
that may happen.
incidental petty which cannot be classified undet amy
The miscellanceous under contingencies
distinct sub-head, are met from the amount provided
From the owner side, the amount to be used upon the supervising staffis
considered as of the contingencies. If there is any sayvine
included in this item
under contingencies, this amount may be usedto
against the amount provided
meet the cost of extra items with the consent of the competent authority
item in estimate for cement plastering 1:3
For instance, let there be an an
wit neat cement finish, but at the time of execution, it is required to provide TNa
there is no allotment of funds, the NCum
nosing at the end of steps. For this small work,
cost of this work may be taken from the contingency fund. But in casean
of design
expenditure is required because of increased volume of work, change
and whose cost cannot be covered by the contingency fund, revised or
the wonk
supplementary estimates are submitted for its sanction before taking up
an estimate
Q.14. Explain the importance of contingencies in(R.GPV, Dec. 2016)
Ans. Refer Q.13.
kame sho
Q.15. Define work-charged establishments.
(R.GPK, June 2016, Now. 201tiom
Or bove t
Explain work-charged establishment in detail. (R.GRK, Dec. 201
Nalaal
cm thick RCC slab with 10
vern
cm
g over it
CAst iron,i
act inon, finished with
paint. All sanitary, water supply and asbestos cement
ll he of first class material.
ehall electrical fittingg
Q.10. Define overhead cost.
Or (R.GPV, June 2016)
Wirite short note on overhead cost.
Ans. Refer Q.6 (iv) (Unit-Il). (R.GPV, May 2018
1l1, What is overhead costs
? Enumerate various
luded in this. expenses to he
Overhead Costs Refer Q.6 (iv)
Ans. -
(R.GPV, Dec. 2012)-
Overhead charges may be classified under(Unit-II).
the following
a) General Overheads heads-
General overhead is a
-
work
recurring known
raloverhead is high for a big firm, on the other hand under execution.
eDera,
overhead is not
known expense, it
a
gends on the volume of work under
execution.
are is no work. These are the
No expense is needed when
nature of expenses
on pb or work like. directly incurred to construct
(a) Supervision (salary of
(b) Small tools, planks engineers, overseers, supervision, etc.).
adractor provides for his workmen.
ladders, ropes and hand tools as the
qualit
ations
litative justificati should be well supported by
iee rationale respectively. The proposal should hear in mind
wantitative a n d
mentsa n d .
financial
ssistance set out by the ministry. No proposal should
assistance
s e e k
thout anyplan
o
m
a kw i l h o a) Building and infrastructure (b) Interiors and display
(c) Services and cquipments (d) Firedand moveable furnitare
Special provisions (if any) () Other provisions
of costs
Estimates (h) Phasing of execution.
(g)
Conclusions The conclusions should clearly bring out the
(vi)impact
of the proposal both in terms of preservation and promotion
ated
ollection a n d
its service to the society.
Annexure
References
Acknowledgment.
Explain briefy
what is meant by thefollowing-
g22 ) Overheadcharges
ii) Contingencies
i i ) Work-charge establishment
(i)
Work-charge Establishment Refer Q.15. -
(i)
Giv) Various Percentagefor Diferent Services- Refer Q.19.
(v) D.P.R.
-
Refer Q,21.
DPR-Refer Q,21.
.4. Write down the sub-heads on main item of work which ar