Virginia Class B Contractor EXAM QUESTIONS AND CORRECT
VERIFIED SOLUTIONS LATEST UPDATE THIS YEAR – JUST
RELEASED
Virginia Class B Contractor Exam
10-Line Exam Coverage in Points Form
1. License Scope & Limitations – Class B contractors may perform contracts valued
at $10,000 to less than $120,000 per project, with annual revenue between $150,000
and $750,000 .
2. Two Required Exams – Class B requires two separate PSI-administered exams:
the Virginia Business and Law Exam (Designated Employee) and a Technical/Trade
Exam (Qualified Individual) .
3. Business and Law Exam Format – 50 multiple-choice questions divided into two
portions: General (50 items, 100 minutes) and Virginia (24 items, 48 minutes) . Passing:
70% overall (35 of 50 correct) .
4. Virginia Portion Content (24 Questions) – Regulation of Contractors (7), Board Rules and
Regulations (5), Building Codes (5), Transaction Recovery Fund (5), Virginia Erosion and
Sediment Control (2) .
5. General Portion Content (50 Questions) – Estimating and Bidding (10), Contract
Management (10), Project Management (7), Financial Management (5), Safety (5),
Federal/State Taxes (4), Labor Laws (3), Risk Management (3), Business Organization (2),
Lien Laws (1) .
6. Designated Employee vs. Qualified Individual – Designated Employee passes Business
and Law Exam and is the licensed individual. Qualified Individual passes Technical/Trade
exam and must have 3 years of experience in the specific trade .
7. Financial Responsibility – Minimum net worth $15,000** (verified by financial
statement) . Alternative: **$50,000 surety bond .
8. Experience Requirement – The Qualified Individual must have minimum three years of
experience in the classification or specialty for which they are the qualifier .
9. Licensing Classifications – Eight classifications available: residential building, commercial
building, highway/heavy, electrical, plumbing, HVAC, fire sprinkler, and specialty .
10. Pre-License Requirement – An 8-hour pre-license course is required for all new Virginia
Contractors. The same person who takes the pre-license course must take the Class A/B
exams .
, Page 2 of 108
100 MCQ Questions with Rationales
1. According to Virginia Code § 54.1-1108, what is the maximum contract value for a Class B
contractor license?
A) $10,000
B) $50,000
C) $120,000
D) $150,000
Correct Answer: C
Rationale: A Class B contractor may perform or manage construction when the total value
referred to in a single contract or project is $10,000 or more, but less than $120,000. This is a
fundamental distinction between Class B and Class A licenses .
2. What is the minimum annual gross revenue threshold for a Class B contractor license?
A) $100,000
B) $150,000
C) $200,000
D) $250,000
Correct Answer: B
Rationale: Class B contractors perform work when the total value of all construction undertaken
within any twelve-month period is $150,000 or more, but less than $750,000 .
, Page 3 of 108
3. What is the maximum annual gross revenue for a Class B contractor license?
A) $500,000
B) $600,000
C) $750,000
D) $1,000,000
Correct Answer: C
Rationale: Class B contractors are limited to less than $750,000 in annual gross revenue. Once
annual revenue reaches $750,000, the contractor must upgrade to a Class A license .
4. What is the minimum net worth requirement for a Class B contractor license?
A) $5,000
B) $10,000
C) $15,000
D) $25,000
Correct Answer: C
Rationale: As proof of financial responsibility, Class B applicants must demonstrate a minimum
net worth of $15,000 as fixed by Board regulation .
5. What is the alternative to the net worth requirement for a Class B contractor?
A) $25,000 cash deposit
B) $50,000 surety bond
, Page 4 of 108
C) $75,000 letter of credit
D) $100,000 property deed
Correct Answer: B
Rationale: In lieu of the $15,000 net worth requirement, an applicant may demonstrate financial
responsibility by obtaining and maintaining a bond in the amount of $50,000 from a corporate
surety licensed to do business in Virginia .
6. How many years of experience are required for the Qualified Individual for a Class B
license?
A) 1 year
B) 2 years
C) 3 years
D) 5 years
Correct Answer: C
Rationale: The Qualified Individual named by a Class B firm must have a minimum of three years
of experience in the classification or specialty for which they are the qualifier .
7. Which Virginia Code section governs the application for a Class B contractor license?
A) § 54.1-1000
B) § 54.1-1108
C) § 54.1-1200
D) § 54.1-1300