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VA CONTRACTORS LICENSE EXAM CLASS A OR B (NEW
2024/ 2025 UPDATE) QUESTIONS AND VERIFIED
ANSWERS| GRADE A| 100% CORRECT
An owner makes a progress payment to the contractor one day later than originally called for by the contract. the contractor decides to abandon the job without completing it. The contractor probably a) is legally justified b) has committed a material breach of the contract. c) should have obtained a lien against the property d) should have requested change order. - ✔✔✔ Correct Answer > B) has committed a material breach of the contract What is required when changing the from of entity from a sole proprietorship to a corporation - ✔✔✔ Correct Answer > A new license Who can file a complaint against a contractor? (under the recovery fund) - ✔✔✔ Correct Answer > Residential Property Owner What is the maximum fund allowed for a single contractor? (per biennium) - ✔✔✔ Correct Answer > $40,
IRS form 941 is used for. a) Federal unemployment taxes and due. b) Quarterly Federal tax deposits paid due. c) Alien Workers d) Company income - ✔✔✔ Correct Answer > b) Quarterly Federal tax deposits paid due. A verified claim for payment from the Transaction Recovery Fund MUST occur within a MAXIMUM of what period of time from the date the claimant was awarded a final judgement? - ✔✔✔ Correct Answer > 12 months If a contract awards more than $ per payment, the contractor is required to have a Class A. - ✔✔✔ Correct Answer > $120, An Erosion control conservation plan needs to be approved within days. - ✔✔✔ Correct Answer > 60 Days Where do you go to file an appeal of a violation to the USBC provisions? - ✔✔✔ Correct Answer > to The LBBCA Local Board of Building Code Appeals
Where is the Recovery Fund used? - ✔✔✔ Correct Answer > to pay claimants subject to improper or dishonest conduct of a regulant Disturbed land areas of less than sq ft in size may not be an issue of sediment and erosion control. - ✔✔✔ Correct Answer > 10, A designated employee must work a minimum of how many hours for a licensed contracting business? - ✔✔✔ Correct Answer > 30 hours The Board can refuse to renew a license when the principal owner is a former owner or officer of a firm that - ✔✔✔ Correct Answer > Had its contractor licensee revoked what is the maximum amount a single contractor's Transaction Recovery Fund claim against a licensee can be? - ✔✔✔ Correct Answer > $40, A license was issued on 10/15/2021. The expiration date is? - ✔✔✔ Correct Answer > 10/31/ What is the maximum amount that can be paid out on behalf of a single contractor? - ✔✔✔ Correct Answer > $40, A code official can begin legal proceedings against a contractor with a minimum of how many violations within one calendar year for work without a permit: - ✔✔✔ Correct Answer > Three
Where must a building permit be posted? - ✔✔✔ Correct Answer > at the building site A new building may be used after is issued. - ✔✔✔ Correct Answer > Certificate of occupancy Any issued permit shall become invalid if work is not commenced within Months after issuance. - ✔✔✔ Correct Answer > 6 A notification that funds are due is issued, but the funds are not paid. After a second notice, the funds must be paid in days. If there is still no payment, then the license is. - ✔✔✔ Correct Answer > 30, suspended An owner wants a swimming pool built in a specified location. The location is in violation of the local code. The contractor should - ✔✔✔ Correct Answer > Not agree to build the pool An individual qualifying for licensure which require a trade exam must - ✔✔✔ Correct Answer > Be a full time employee All of the following are required on a written contract EXCEPT - ✔✔✔ Correct Answer > Permit numbers if licensees are notified at the time of renewal that an additional fee for the contractor recovery fund is due, and the licensee does not pay the fee at that time, how much additional time is licensee given? - ✔✔✔ Correct Answer > 30 days
A decision of the local building officials must first appeal to - ✔✔✔ Correct Answer > the Local Board of Building Code Appeals An offer normally includes all of the following EXCEPT - ✔✔✔ Correct Answer > Subcontractor's name Minimum age for designated employee - ✔✔✔ Correct Answer > 18 years old Class A and Class B Must operate - ✔✔✔ Correct Answer > under the name the license was issued ACME builder contracts a cement driveway for Mrs. Bee. During construction, the home owner decides she needs the driveway to be wider to have an easier access to the garage. The contractor agrees to increase the width at an additional cost and Mrs. Bee agrees to pay for the licensee. Once construction has been completed, Mrs. Bee refuses to pay for the increase saying the contractor estimated the contract incorrectly. The homeownership no legal obligation to pay for the increase because the - ✔✔✔ Correct Answer > contractor failed to prepare a change order to the contract and have the homeowner sign it The maximum single Contractors Transaction Recovery claim against a licensee is
- ✔✔✔ Correct Answer > $40, A class A license is required when a single contract is worth more than? - ✔✔✔ Correct Answer > $120,
Temporary erosion and sediment control measures MUST be removed within a MAXIMUM of how many days after the final site stabilization? - ✔✔✔ Correct Answer > 30 days When may a license be transferred? - ✔✔✔ Correct Answer > never If a claimant is paid from the Transaction Recovery Fund, the Board - ✔✔✔ Correct Answer > May pay court costs using the Fund A permit expires if work does not begin within - ✔✔✔ Correct Answer > 6 Months Modifications to a contract affecting cost, materials, work scope, or estimated completion date shall - ✔✔✔ Correct Answer > be in writing and signed by all parties What is the maximum fine for the beginning land-distrurbing activities without an approved erosion sediment control plan and permit when REQUIRED? - ✔✔✔ Correct Answer > $1,000 per day A claim against the Contractor Recovery Trust Fund shall be paid if due to - ✔✔✔ Correct Answer > The licensee's improper or dishonest conduct A code official may request the initiation of legal proceedings against a contractor served with a minimum of how many notices of violation within one calendar year for beginning work without a required permit? - ✔✔✔ Correct Answer > 3 A designated employee must be - ✔✔✔ Correct Answer > a full time employee
Contractors who are assessed a fee to support the Transaction Recovery Fund MUST pay this fee within a MINIMUM of how many days from when the assessment fee notice was mailed? - ✔✔✔ Correct Answer > 45 Days How much is the Class A initial license fee? - ✔✔✔ Correct Answer > $ When must the work be stopped following the issuance of a stop work order? - ✔✔✔ Correct Answer > Immediately What is the primary purpose of licensing? - ✔✔✔ Correct Answer > Protect the health and welfare of the general public. what is the maximum penalty for a contractor undertaking work without the proper class license? - ✔✔✔ Correct Answer > $500 fine per day for each day of violation plus penalties for a misdemeanor Contractors will be assessed a fee for the Transaction Recovery Fund whenever the fund balance is less than - ✔✔✔ Correct Answer > $400, Additions to building must comply normally with - ✔✔✔ Correct Answer > The current code for a new construction A building official MUST issue a certificate of occupancy for a building that meets all the requirements for a certificate within a MAXIMUM of how many working days after the certificate was requested? - ✔✔✔ Correct Answer > 5
According to the Board Rules and Regulations, which of the following could be a qualified individual? - ✔✔✔ Correct Answer > A full-time employee, 18 years old, who passed examinations and experienced The application for licensure MUST include - ✔✔✔ Correct Answer > the business address of the proposed designated employee. A licensee's name change MUST be reported to the Board within a MAXIMUM of how many days? - ✔✔✔ Correct Answer > 30 days All of the following employees must be licensed EXCEPT - ✔✔✔ Correct Answer > a material supplier who advises a contractor a firm desiring to be licensed as a Class B contractor MUST have a MINIMUM net worth of - ✔✔✔ Correct Answer > $15, How many licensed contractors are on the State Board for Contractors? - ✔✔✔ Correct Answer > 6 (out of 16 total) An appeal of a final decision of a county on an erosion control plan MUST be filed within a MAXIMUM of how many days? - ✔✔✔ Correct Answer > 30 days Payments made by the Transaction Recovery Fund to claimants may include an amount to - ✔✔✔ Correct Answer > Attorneys' fees (and court costs)
The maximum claim of a claimant against Fund based upon any unpaid judgment arising out of the improper of dishonest conduct involving one transaction shall bot exceed? a) $15, b) $20, c) $40, d) $10,000 - ✔✔✔ Correct Answer > $20, In the event that a regulant's license has been revoked due to dishonesty, the regulant shall not be eligible to apply for a license until (. ) has been submitted to the Fund - ✔✔✔ Correct Answer > the full amount paid from the Board plus interest A license shall expire ( ) years from the last day of the month in which it was issued. a) 4 b) 2 c) 1 d) 3 - ✔✔✔ Correct Answer > 2 the minimum storage capacity of a sediment basin shall be (. ) cubic yards per acre of drainage area - ✔✔✔ Correct Answer > 134
Each applicant shall be assessed (. ) which is to be placed in the Contractor Transaction Recovery Fund - ✔✔✔ Correct Answer > $ Which of the following is permitted to receive awards from the Fund? - ✔✔✔ Correct Answer > Property owner A contract calls for the liquidated damages of $500 per day. The project completed five days late because it was delayed by rain. The completion would have been ten days earlier if it were not for the rain delay. There was a $ bonus per day for the contractor for early completion. No extension of time was requested or granted. How much does the contractor earn or owe? - ✔✔✔ Correct Answer > Owe $2, A partnership is required to - ✔✔✔ Correct Answer > Obtain a federal tax ID number A particular project requires special tools not ordinarily used by the business. For the estimate, the entire cost of these tools should be - ✔✔✔ Correct Answer > Included in the equipment cost Construction business differs from the manufacturing in that - ✔✔✔ Correct Answer > product price is determined before actual cost is determined A contractor does not notify a change of address and so does not receive a timely Notice of Renewal. Who is responsible for when the contractor does not renew his license on time? - ✔✔✔ Correct Answer > The Licensee Contractor
A business plan for starting a business should include all of the following EXCEPT a) competition b) financing c) long range forecasting d) contract documents - ✔✔✔ Correct Answer > d) contract documents An acceptance of an offer which changes some of the original offer is considered - ✔✔✔ Correct Answer > a counter offer A business which is owned by two 50% owners and is to be operated as ABC home building, INC is REQUIRED to - ✔✔✔ Correct Answer > register the business name with the State Corp. Commission(SCC) For ease in estimating labor costs, work should be grouped by - ✔✔✔ Correct Answer > type of material Which of the following is the MOST reliable estimating method for building construction? A) conceptual B) take-off C) unit price D) square foot - ✔✔✔ Correct Answer > Take-off
Bid documents typically include all of the following EXCEPT - ✔✔✔ Correct Answer > The location of plans and specifications According to the owners final choices, the cost of work for which an allowance had been given, would exceed the amount of the allowance in the contract. The contractor should... - ✔✔✔ Correct Answer > obtain a written change order Liquidated damages are contractual clauses that call for a) a penalty for work not performed in accordance with the plans and specifications b) a penalty for delays caused by the weather c) an amount to be paid if the owner causes a delay in the completion of the work d) an amount to be paid if the contractor does not finish the job on time - ✔✔✔ Correct Answer > an amount to be paid if the contractor does not finish the job on time Which of the following is included in the project overhead? a) advertising costs b) equipment rentals c) material delivery charges d) supervisor salaries - ✔✔✔ Correct Answer > d) supervisor salaries Bids should prepare for a) only projects with a request for bid.
c) addenda d) submittals - ✔✔✔ Correct Answer > c) addenda The general rule of law for interpreting an ambiguous provision of a contract is that it is a) interpreted against the party who wrote it b) not bidding c) interpreted against the owner d) interpreted against the contractor - ✔✔✔ Correct Answer > a) interpreted against the party who wrote it Fast-track construction typically includes - ✔✔✔ Correct Answer > multiple prime contractors An offer should typically include all of the following EXCEPT the a) Progress payment b) Completion date. c) Names of the subcontractors. d) List of services to be included - ✔✔✔ Correct Answer > c) names of subcontractors Which of the following is included in the company overhead, or general administrative (G& A)?
A) permits B) storage facilitites C) company insurance D) equipment operating expenses - ✔✔✔ Correct Answer > company insurance Which of the following usually contracts with a subcontractor? - ✔✔✔ Correct Answer > Prime contractor In a typical contractual agreement, who is responsible for ensuring that all required permits are obtained? A) contractor B) owner C) architect D) supervisor - ✔✔✔ Correct Answer > Contractor The owner requests changes which will cost the contractor $2,500 in labor and materials and $700 in overhead costs. With the change, the contractor would be relieved of $1,000 in labor costs and $280 in overhead costs from the original contract. The original bid included profit of 10% of all costs. The contractor wants to make a profit of 10% of all costs on the changes. The amount of the change order should include a request of an additional... - ✔✔✔ Correct Answer > b) $2,112 (check pics for explanation) On MOST large construction projects, which typically certifies to the owner that progress payments should be made?
