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VA CONTRACTORS: VA ADVANCED (CLASS A) EXAM
2025 / 2026 QUESTIONS AND VERIFIED ANSWERS|
GRADE A| 100% CORRECT
A lump sum contract on a project has a total contract price of $160,000. Retainage has been held back at 10%. The contractor has received progress payments for 75% of the project. The contractor submits a request for final payment for the new completed project. The final payment amount should be for... Ans: More than $50, What is the total value of current assets for an accrual basis company that has the following? Checking account cash balance is $4,800; materials inventory for work-in-progress is $4,200; a pick-up truck that cost $12,460- paid for with $2,460 in cash and a note for $10,000- and is used 100% in the business; accounts receivable is $5,700; suppliers' accounts payable is $6,300; other accounts payable is $2,200; and quarterly income tax payment due is $1,180... Ans: Between $12,000 and $16,
What is the total project overhead for a project that lasts 3 months and has the following costs? Labor is $4,000; materials are $9,500; equipment rentals are $1,200; superintendent's annual salary is $36,000; office rent is $800 per month; and office utilities are $375 per month. Ans: Less than $12, For 1 month a company bills out $38,000 in completed work, and receives $22,000 in payments plus $8,000 from the previous month's billings. They pay their total bill of $26,000 to supply houses for this month's purchases, and another $5,000 to supply houses for last month's purchases. Using a cash accounting method and NOT considering any other revenue or expenses, what is the company's net income for the month? Ans: Loss of $1, The owner requests for change which will cost the contractor $15,000 in labor and materials and $2,250 in overhead costs. With the change, the contractor would be relieved of $18,000 in labor and materials costs, and $2,400 in overhead costs from the original contract. The original bid included profit of
Ans: The carpenter is an employee and is owed $10,560 for the project What is the name of the process when a facilitator meets with the major participants in a project, prior to the commencement of the project, to identify the shared goals of all participants? Ans: Partnering What is the average collection period ratio for a firm that has $365,000 in annual revenues, $6,600 in current receivables, and net income of $32,000? Ans: 6. Who oversees compliance with Material Safety Data Sheets? Ans: OSHA A non-exempt employee of a contractor covered by the Fair Labor Standards Act works 60 hours during a workweek. The agreement is to pay the employee $400 each week regardless of the numbers of hours worked. What should be the employee's gross pay for the worksheet?
Ans: $700. In the previous year, a company had revenues of $500,000 project overhead of $40,000 and company overhead of $75,000. The company expects the percentage for project and company overhead to remain the same for the current year. The company desires to make a 10% profit on a project it is bidding. The project would have $80,000 in direct costs. What should the bid price be? Ans: Between $110,000 and $120, How much state income tax MUST be paid by a corporation that has $30,000 of Federal taxable income? The company deducted $2,000 of state and local taxes on the Federal return, and had $2,000 of qualified worker retraining expenses. The corporation does business ONLY in Virginia. Ans: $1, How much is an employer who withheld employee Medicare and Social Security taxes or $765 required to send to the IRS? Ans: $1,
of field employee payroll. Total office employee payroll for the year is $25,000. Total field supervisor payroll is $48,000. Total field employee payroll is $225,000. The contractor receives a discount of 5% of total premiums for having a safety program in place. The total workers' compensation for the year is... Ans: More than $ A permit is obtained on Friday, May 1. The materials are to be delivered May 8. The materials are needed when labor begins on May 11. It is estimated that 15 days of labor are REQUIRED. The crew will work every day, including weekends and holidays. The project is scheduled to be completed on June 8. How many float days are available for the labor for this project? Ans: 13 A contractor puts in a claim under a comprehensive standard general liability policy. The policy has no additional coverage, riders, or floaters, and has a $ deductible per occurrence. The claim is for a job-site accident that caused $2,000 of injuries to employees, $1,800 of injuries to a pedestrian, $2,
damage to the contractor's equipment, and $1,750 loss of project materials purchased by the contractor. The insurance company is liable for... Ans: $1, What is the MAXIMUM amount of a lien that can claimed by a subcontractor who notifies the lien agent for a two-family residential property on August 1 that the subcontractor first provided labor and materials on the project on May 1? The subcontractor billed the general contractor for $4,000 per month, through September 30, and was never paid. Ans: $8, What percent should the employer withhold for Virginia withholding for an employee who is to receive a separate supplemental payment for vacation? The employer is using a flat percentage rate. Ans: 5.75% A cost plus contract calls for the contractor to receive direct costs for labor and materials, and a markup of 20% of direct costs. The contractor is also to receive a bound of 15% of savings if total cost to the owner is less than
