Contractors Law Exam CA Practice Test: \| \| \| \| \| \|
Licensing Requirements questions with \| \| \| \|
answers
Which of the following will potentially require a business license?
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A. The Internal Revenue Service
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B. The Contractors State License Board
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C. The Department of Industrial Relations
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D. Any city or county where the contractor is working - CORRECT
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ANSWERS ✔✔D. Any city or county where the contractor is
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working
Which of the following is not a form of advertising?
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A. Business cards
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B. Radio ads
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C. Lunch meets
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D. Contract proposal - CORRECT ANSWERS ✔✔C. Lunch meets
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If an employee is injured when the contractor's license was
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suspended or revoked, then what happens to the contractor?
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A. The contractor may face a lawsuit for damages
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,B. The contractor will lose his license permanently
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C. The contractor will be fined $10,000
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D. The contractor will have to pay to the injured employee a full
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pay until he recovers - CORRECT ANSWERS ✔✔A. The contractor
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may face a lawsuit for damages
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An expired license may be renewed anytime within _____ after its
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expiration date. \|
A. 5 years
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B. 3 years
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C. 2 years
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D. 60 days - CORRECT ANSWERS ✔✔A. 5 years
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James wishes to qualify for more than one active license at a
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time. According to the Contractors' License Law, he must own at
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least ____ of the equity for each business where he serves as the
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qualifying individual. \|
A. 20%\|
B. 25%\|
C. 50%\|
D. 100% - CORRECT ANSWERS ✔✔A. 20%
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A contractor's license will be valid if:
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, A. It is backdated
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B. It is renewed by the expiration date
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C. It is renewed within 5 years after expiration
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D. It is renewed by the expiration date and a valid bond is
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maintained - CORRECT ANSWERS ✔✔D. It is renewed by the
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expiration date and a valid bond is maintained
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How often should a contractor renew their license?
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A. Every year
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B. Every two years
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C. Every four years
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D. Every five years - CORRECT ANSWERS ✔✔B. Every two years
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Which of the following requires a home improvement
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salesperson registration? \|
A. RMO making outbound calls
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B. Contractor who negotiates contracts outside of their place of
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business
C. Employee who negotiates a service and repair contract
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D. RME who goes door-to-door and negotiates contracts -
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CORRECT ANSWERS ✔✔C. Employee who negotiates a service
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and repair contract
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Licensing Requirements questions with \| \| \| \|
answers
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
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D. Any city or county where the contractor is working - CORRECT
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ANSWERS ✔✔D. Any city or county where the contractor is
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working
Which of the following is not a form of advertising?
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A. Business cards
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B. Radio ads
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C. Lunch meets
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D. Contract proposal - CORRECT ANSWERS ✔✔C. Lunch meets
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If an employee is injured when the contractor's license was
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suspended or revoked, then what happens to the contractor?
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A. The contractor may face a lawsuit for damages
\| \| \| \| \| \| \| \|
,B. The contractor will lose his license permanently
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C. The contractor will be fined $10,000
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D. The contractor will have to pay to the injured employee a full
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pay until he recovers - CORRECT ANSWERS ✔✔A. The contractor
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may face a lawsuit for damages
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An expired license may be renewed anytime within _____ after its
\| \| \| \| \| \| \| \| \| \| \|
expiration date. \|
A. 5 years
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B. 3 years
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C. 2 years
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D. 60 days - CORRECT ANSWERS ✔✔A. 5 years
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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% - CORRECT ANSWERS ✔✔A. 20%
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A contractor's license will be valid if:
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, A. It is backdated
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B. It is renewed by the expiration date
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C. It is renewed within 5 years after expiration
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D. It is renewed by the expiration date and a valid bond is
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maintained - CORRECT ANSWERS ✔✔D. It is renewed by the
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expiration date and a valid bond is maintained
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How often should a contractor renew their license?
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A. Every year
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B. Every two years
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C. Every four years
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D. Every five years - CORRECT ANSWERS ✔✔B. Every two years
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Which of the following requires a home improvement
\| \| \| \| \| \| \| \|
salesperson registration? \|
A. RMO making outbound calls
\| \| \| \|
B. Contractor who negotiates contracts outside of their place of
\| \| \| \| \| \| \| \| \| \|
business
C. Employee who negotiates a service and repair contract
\| \| \| \| \| \| \| \|
D. RME who goes door-to-door and negotiates contracts -
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CORRECT ANSWERS ✔✔C. Employee who negotiates a service
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and repair contract
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