Contractors Law Exam CA Practice Test Questions and Answers- Licensing Requirements

Contractors Law Exam CA Practice Test:
Licensing Requirements


Which of the following will potentially require a business license?



A. The Internal Revenue Service

B. The Contractors State License Board

C. The Department of Industrial Relations

D. Any city or county where the contractor is working - Answer-D. Any city or county where the
contractor is working



Which of the following is not a form of advertising?



A. Business cards

B. Radio ads

C. Lunch meets

D. Contract proposal - Answer-C. Lunch meets



If an employee is injured when the contractor's license was suspended or revoked, then what happens
to the contractor?



A. The contractor may face a lawsuit for damages

, B. The contractor will lose his license permanently

C. The contractor will be fined $10,000

D. The contractor will have to pay to the injured employee a full pay until he recovers - Answer-A. The
contractor may face a lawsuit for damages



An expired license may be renewed anytime within _____ after its expiration date.



A. 5 years

B. 3 years

C. 2 years

D. 60 days - Answer-A. 5 years



James wishes to qualify for more than one active license at a time. According to the Contractors' License
Law, he must own at least ____ of the equity for each business where he serves as the qualifying
individual.



A. 20%

B. 25%

C. 50%

D. 100% - Answer-A. 20%



A contractor's license will be valid if:



A. It is backdated

B. It is renewed by the expiration date

C. It is renewed within 5 years after expiration