FLORIDA CONTRACTOR EXAM
(BUSINESS AND FINANCE) QUESTIONS
WITH ACCURATE ANSWERS
When is it profitable to pay accounts payable early?
A. when cash flow deficit occurs
B. when customers pay promptly
C. when a large inventory is tied up
D. when there is a worthwhile discount for early payment ✔ansD. when there is a worthwhile discount.
for early payment
A system for scheduling use of equipment would NOT need to include entries for
A. depreciation expense
B. hours of operation
C. job numbers
D. repair time ✔ansA. depreciation expense
will Based on the architect's evaluation of the contractor's Application for Payment, the _______ will
review and certify the amount due.
A. owner
B. supplier
C. architect
D. financing bank ✔ansC. architect
The Public Whistle Blowers Act (Sec. 112.3187 FL STAT.) covers
A. all companies regardless of size.
B. companies with 50 or more workers.
C. employees of contractors on government jobs.
, D. only government contracts in excess of $20,000. ✔ansC. employees of contractors on government
jobs.
When furnishing a separate performance and separate payment bond, surety could conceivably
pay______ amount of both.
A. one half the
B. double the
C. 1.5 additional the
D. cumulative ✔ansD. cumulative
The best way to meet your company's short term goals is through
A. budgeting
B. depreciation
C. investing
D. capitalization ✔ansA. budgeting
Safety in the workplace is typically governed by OSHA. Other than for compliance purposes, why is it
important for a business to implement a safety policy?
A. to keep the company from paying for an accident
B. to reduce accidents outside of the work place
C. to reduce the high cost of job site accident
D. to keep employee health insurance rates lower ✔ansC. to reduce the high cost of job site accidents.
$700,000. According to the completed contract method accounting, what the total income that is
deferred until completion? Income for the first year on two-year project was $400,000. Income for the
second year was
A. $400,000
B. $660,000
C. $700,000
D. $1,100,000 ✔ansD. $1,000,000
(BUSINESS AND FINANCE) QUESTIONS
WITH ACCURATE ANSWERS
When is it profitable to pay accounts payable early?
A. when cash flow deficit occurs
B. when customers pay promptly
C. when a large inventory is tied up
D. when there is a worthwhile discount for early payment ✔ansD. when there is a worthwhile discount.
for early payment
A system for scheduling use of equipment would NOT need to include entries for
A. depreciation expense
B. hours of operation
C. job numbers
D. repair time ✔ansA. depreciation expense
will Based on the architect's evaluation of the contractor's Application for Payment, the _______ will
review and certify the amount due.
A. owner
B. supplier
C. architect
D. financing bank ✔ansC. architect
The Public Whistle Blowers Act (Sec. 112.3187 FL STAT.) covers
A. all companies regardless of size.
B. companies with 50 or more workers.
C. employees of contractors on government jobs.
, D. only government contracts in excess of $20,000. ✔ansC. employees of contractors on government
jobs.
When furnishing a separate performance and separate payment bond, surety could conceivably
pay______ amount of both.
A. one half the
B. double the
C. 1.5 additional the
D. cumulative ✔ansD. cumulative
The best way to meet your company's short term goals is through
A. budgeting
B. depreciation
C. investing
D. capitalization ✔ansA. budgeting
Safety in the workplace is typically governed by OSHA. Other than for compliance purposes, why is it
important for a business to implement a safety policy?
A. to keep the company from paying for an accident
B. to reduce accidents outside of the work place
C. to reduce the high cost of job site accident
D. to keep employee health insurance rates lower ✔ansC. to reduce the high cost of job site accidents.
$700,000. According to the completed contract method accounting, what the total income that is
deferred until completion? Income for the first year on two-year project was $400,000. Income for the
second year was
A. $400,000
B. $660,000
C. $700,000
D. $1,100,000 ✔ansD. $1,000,000
