Engineering Board Exam Reviewer · ECE · hard

Under the RA 9184 IRR for infrastructure, liquidated damages equal one-tenth of one percent (0.1%) of the cost of the unperformed portion for every day of delay. A ₱10,000,000 project is 80% complete when the deadline passes and is finished 20 days late (assume the unperformed portion stays at 20% for simplicity). What are the liquidated damages?

  1. ₱200,000.00
  2. ₱40,000.00
  3. ₱160,000.00
  4. ₱400,000.00

Answer

B. ₱40,000.00

Solution

Unperformed portion = 20% × 10,000,000 = ₱2,000,000. LD = 0.001 × 2,000,000 × 20 = ₱40,000.00.

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