2) You are estimating the contractor’s material handling cost as a factor of the material cost. After examining 6…

2) You are estimating the contractor’s material handling cost as a factor of the material cost. After examining 6 previous contracts you have the percentage (factor) for each contract:
2.5% 6.2% 3.2% 12.9% 7.0% 15.3%
All of the following would be reasonable actions except for:

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Consider if there is an additional cost driver
Determine if all 6 contracts were for similar work
Reconsider if material cost is a good indicator of material handling cost
Throw out the high and low values and average the remaining factors

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