VA Contractors VA Advanced (Class A).pdf file:///C:/Users/HP/Desktop/SSSSSSS/VA%20Contractors%20VA%2
VA Contractors VA Advanced (Class A)
1. 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 progresspayments for 75% of the
project. The contractor submits a request for final payment for the new completed
project.The final payment amount should befor...
ANS More than $50,000
2. What is the total value of current assets for an accrual basis company that has the
following? Checking account cash balance is $4,800; materialsinventory 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 paymentdue is
$1,180...
ANS Between $12,000 and $16,000
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1 of 9 8/30/2024, 3:54
,VA Contractors VA Advanced (Class A).pdf file:///C:/Users/HP/Desktop/SSSSSSS/VA%20Contractors%20VA%2
3. What is the total project overhead for a project that lasts 3 months and hasthe
following costs? Labor is $4,000; materials are $9,500; equipment rentalsare $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 $12,000
4. 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 paytheir 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, whatis the company's net income for the
month?
ANS Loss of $1,000
5. 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, thecontractor would be
relieved of $18,000 in labor and materials costs, and
$2,400 in overhead costs from the original contract.The original bid includedprofit of
2/3
2 of 9 8/30/2024, 3:54
VA Contractors VA Advanced (Class A)
1. 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 progresspayments for 75% of the
project. The contractor submits a request for final payment for the new completed
project.The final payment amount should befor...
ANS More than $50,000
2. What is the total value of current assets for an accrual basis company that has the
following? Checking account cash balance is $4,800; materialsinventory 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 paymentdue is
$1,180...
ANS Between $12,000 and $16,000
1/3
1 of 9 8/30/2024, 3:54
,VA Contractors VA Advanced (Class A).pdf file:///C:/Users/HP/Desktop/SSSSSSS/VA%20Contractors%20VA%2
3. What is the total project overhead for a project that lasts 3 months and hasthe
following costs? Labor is $4,000; materials are $9,500; equipment rentalsare $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 $12,000
4. 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 paytheir 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, whatis the company's net income for the
month?
ANS Loss of $1,000
5. 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, thecontractor would be
relieved of $18,000 in labor and materials costs, and
$2,400 in overhead costs from the original contract.The original bid includedprofit of
2/3
2 of 9 8/30/2024, 3:54
