Nevada Business And Law Exam Practice
Questions And Correct Answers (Verified
Answers) Plus Rationales 2026 Q&A | Instant
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1. Which Nevada agency regulates and licenses contractors in the state?
• A) Nevada Department of Transportation
• B) Nevada State Contractors Board (NSCB)
• C) Nevada Secretary of State
• D) Nevada Department of Business and Industry
Rationale: The Nevada State Contractors Board (NSCB) is the specific regulatory
body that administers contractor licensing, enforces NRS Chapter 624, and
investigates complaints against contractors in Nevada.
2. Which chapter of the Nevada Revised Statutes (NRS) governs contractor
licensing and regulation?
• A) NRS Chapter 338
• B) NRS Chapter 616
• C) NRS Chapter 624
• D) NRS Chapter 618
Rationale: NRS Chapter 624 is the primary statutory authority for the licensure
and regulation of contractors by the Nevada State Contractors Board.
3. How often must Nevada contractors renew their license?
• A) Every year
• B) Every 2 years (biennially)
, • C) Every 3 years
• D) Every 5 years
Rationale: Nevada contractors are required to renew their licenses biennially
(every two years).
4. A contractor's license expires on January 31. The contractor continues
working on February 1 without renewing the license. What is the legal status
of this action?
• A) Permitted as long as renewal fee is paid within 60 days
• B) Operating legally if no new contracts are started
• C) Practicing without a license, subject to penalties
• D) Allowed to complete existing projects only
Rationale: Working with an expired contractor license is illegal and subject to
penalties, including fines and possible disciplinary action. There is no automatic
grace period for continuing work.
5. What is the minimum age requirement for an applicant seeking a
contractor's license in Nevada?
• A) 18 years
• B) 21 years
• C) 25 years
• D) No minimum age
Rationale: An applicant for a contractor's license must be at least 18 years old as
set forth in NRS 624.260.
6. How many years of experience at a journeyman level, or as a foreman,
supervisor, or contractor, are required to qualify for a contractor's license in
Nevada?
, • A) 2 years
• B) 3 years
• C) 4 years
• D) 5 years
Rationale: The qualifying individual must have had, within the 15 years
immediately before filing the application, at least four full years of experience at a
journeyman level, or as a foreman, supervisor, or contractor in the classification for
which the applicant is applying.
7. When must a contractor, including subcontractors and specialty
contractors, be licensed in Nevada?
• A) Within 30 days of starting work
• B) Within 60 days of signing a contract
• C) Before submitting bids
• D) After completing the first project
Rationale: Contractors, including subcontractors and specialty contractors, must
be licensed before submitting bids in Nevada.
8. A contractor moves their principal office from Las Vegas to Henderson.
Within what timeframe must the NSCB be notified of this address change?
• A) 15 days
• B) 30 days
• C) 60 days
• D) 90 days
Rationale: The Board must be notified of address changes within 30 days to
maintain accurate records and ensure proper communication.
, 9. Which of the following business structures may obtain a contractor's license
in Nevada?
• A) Individuals only
• B) Corporations only
• C) Limited liability companies only
• D) Individuals, partnerships, corporations, LLCs, and joint ventures
Rationale: Licenses may be issued to individuals, general partnerships, limited
partnerships, corporations, limited liability companies, or joint ventures.
10. What is the primary purpose of the Nevada State Contractors Board?
• A) To issue building permits
• B) To set construction material standards
• C) To protect the public by regulating the construction industry
through licensing and enforcement
• D) To provide construction training programs
Rationale: The NSCB's primary purpose is to protect the public by ensuring that
contractors are qualified, licensed, and compliant with state laws and regulations.
11. A separate application for each classification of license is required. Where
is this requirement specified?
• A) NRS 624.100
• B) NAC 624.590
• C) NRS 338.020
• D) NAC 624.120
Rationale: NAC 624.590 requires a person to make a separate application for each
classification of license in which the applicant desires to conduct business.
Questions And Correct Answers (Verified
Answers) Plus Rationales 2026 Q&A | Instant
Download Pdf
1. Which Nevada agency regulates and licenses contractors in the state?
• A) Nevada Department of Transportation
• B) Nevada State Contractors Board (NSCB)
• C) Nevada Secretary of State
• D) Nevada Department of Business and Industry
Rationale: The Nevada State Contractors Board (NSCB) is the specific regulatory
body that administers contractor licensing, enforces NRS Chapter 624, and
investigates complaints against contractors in Nevada.
2. Which chapter of the Nevada Revised Statutes (NRS) governs contractor
licensing and regulation?
• A) NRS Chapter 338
• B) NRS Chapter 616
• C) NRS Chapter 624
• D) NRS Chapter 618
Rationale: NRS Chapter 624 is the primary statutory authority for the licensure
and regulation of contractors by the Nevada State Contractors Board.
3. How often must Nevada contractors renew their license?
• A) Every year
• B) Every 2 years (biennially)
, • C) Every 3 years
• D) Every 5 years
Rationale: Nevada contractors are required to renew their licenses biennially
(every two years).
4. A contractor's license expires on January 31. The contractor continues
working on February 1 without renewing the license. What is the legal status
of this action?
• A) Permitted as long as renewal fee is paid within 60 days
• B) Operating legally if no new contracts are started
• C) Practicing without a license, subject to penalties
• D) Allowed to complete existing projects only
Rationale: Working with an expired contractor license is illegal and subject to
penalties, including fines and possible disciplinary action. There is no automatic
grace period for continuing work.
5. What is the minimum age requirement for an applicant seeking a
contractor's license in Nevada?
• A) 18 years
• B) 21 years
• C) 25 years
• D) No minimum age
Rationale: An applicant for a contractor's license must be at least 18 years old as
set forth in NRS 624.260.
6. How many years of experience at a journeyman level, or as a foreman,
supervisor, or contractor, are required to qualify for a contractor's license in
Nevada?
, • A) 2 years
• B) 3 years
• C) 4 years
• D) 5 years
Rationale: The qualifying individual must have had, within the 15 years
immediately before filing the application, at least four full years of experience at a
journeyman level, or as a foreman, supervisor, or contractor in the classification for
which the applicant is applying.
7. When must a contractor, including subcontractors and specialty
contractors, be licensed in Nevada?
• A) Within 30 days of starting work
• B) Within 60 days of signing a contract
• C) Before submitting bids
• D) After completing the first project
Rationale: Contractors, including subcontractors and specialty contractors, must
be licensed before submitting bids in Nevada.
8. A contractor moves their principal office from Las Vegas to Henderson.
Within what timeframe must the NSCB be notified of this address change?
• A) 15 days
• B) 30 days
• C) 60 days
• D) 90 days
Rationale: The Board must be notified of address changes within 30 days to
maintain accurate records and ensure proper communication.
, 9. Which of the following business structures may obtain a contractor's license
in Nevada?
• A) Individuals only
• B) Corporations only
• C) Limited liability companies only
• D) Individuals, partnerships, corporations, LLCs, and joint ventures
Rationale: Licenses may be issued to individuals, general partnerships, limited
partnerships, corporations, limited liability companies, or joint ventures.
10. What is the primary purpose of the Nevada State Contractors Board?
• A) To issue building permits
• B) To set construction material standards
• C) To protect the public by regulating the construction industry
through licensing and enforcement
• D) To provide construction training programs
Rationale: The NSCB's primary purpose is to protect the public by ensuring that
contractors are qualified, licensed, and compliant with state laws and regulations.
11. A separate application for each classification of license is required. Where
is this requirement specified?
• A) NRS 624.100
• B) NAC 624.590
• C) NRS 338.020
• D) NAC 624.120
Rationale: NAC 624.590 requires a person to make a separate application for each
classification of license in which the applicant desires to conduct business.
