1|Page
CSLB LAW EXAM ACTUAL EXAM UPDATED
2025 2026 WITH ALL NEW QUESTIONS AND
EXACTLY RIGHT ANSWERS | A+ QUALITY
GUARANTEE
To whom should a Misc-1099 be sent?
⇒ to a subcontractor earning over $600 during a calendar year
Given gross sales of $300,000 and labor costs of $95,000, miscellaneous expenses
of $35,000, material expense of $50,000, depreciation of $25,000 and a $35,000
loan to the owner, what is the net profit?
⇒ $95,000
A mandatory arbitration program is a method of resolving complaints filed with
the Contractors State License Board when?
⇒ Alleged contract dispute less than $15,000
All employees, including U.S. citizens, must complete Form I-9 . When must an
employee complete Form I-9?
⇒ The first day they start work.
Which is the MOST important preliminary step for a prime contractor who is
gathering data for a bid to prepare for a large job requiring sub-contractors
⇒ Selecting subcontractors.
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Which of the following statements is correct regarding a schedule of payments in
an original bid?
⇒ You are not required to include a schedule of payments in the original bid.
A client requests a bid package from a contractor. The package should include?
⇒ A list of all subcontractors.
Of the following, which document is signed first in a transaction involving a home
improvement contract?
⇒ 'Mechanics Lien Warning'
A mechanics lien is a written document that must be signed and verified by the
claimant. The first and third steps a contractor should take in filing a lien are listed
below. STEP 1: Obtain the exact legal description of the property. STEP 2: ??
STEP 3: Find out if the person requesting the improvement is the owner. What is
step 2 ??
⇒ Find name of legal owner & percent of ownership.
A prime contractor has completed 60% of a job. The owner has not been paying
the prime-contractor for the work performed. The prime-contractor has filed a
mechanics' lien. What is the contractor's next step?
⇒ Continue working on the job.
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Where must the supplier s SDS sheets be kept.
⇒ At the job site AND the office
You have determined that the job you are working on involves asbestos. What
should you do?
⇒ Stop work immediately.
According to state law, which guideline must contractors follow regarding safety
devices?
⇒ Provide, and require employees to use safety devices.
By law, the maximum hours in a week a minor can work is:
⇒ 48
An accounts receivable ledger includes all money:
⇒ Received for services, and due for services.
What is the MOST important reason contractors should review plans and
specifications with subcontractors?
CSLB LAW EXAM ACTUAL EXAM UPDATED
2025 2026 WITH ALL NEW QUESTIONS AND
EXACTLY RIGHT ANSWERS | A+ QUALITY
GUARANTEE
To whom should a Misc-1099 be sent?
⇒ to a subcontractor earning over $600 during a calendar year
Given gross sales of $300,000 and labor costs of $95,000, miscellaneous expenses
of $35,000, material expense of $50,000, depreciation of $25,000 and a $35,000
loan to the owner, what is the net profit?
⇒ $95,000
A mandatory arbitration program is a method of resolving complaints filed with
the Contractors State License Board when?
⇒ Alleged contract dispute less than $15,000
All employees, including U.S. citizens, must complete Form I-9 . When must an
employee complete Form I-9?
⇒ The first day they start work.
Which is the MOST important preliminary step for a prime contractor who is
gathering data for a bid to prepare for a large job requiring sub-contractors
⇒ Selecting subcontractors.
,2|Page
Which of the following statements is correct regarding a schedule of payments in
an original bid?
⇒ You are not required to include a schedule of payments in the original bid.
A client requests a bid package from a contractor. The package should include?
⇒ A list of all subcontractors.
Of the following, which document is signed first in a transaction involving a home
improvement contract?
⇒ 'Mechanics Lien Warning'
A mechanics lien is a written document that must be signed and verified by the
claimant. The first and third steps a contractor should take in filing a lien are listed
below. STEP 1: Obtain the exact legal description of the property. STEP 2: ??
STEP 3: Find out if the person requesting the improvement is the owner. What is
step 2 ??
⇒ Find name of legal owner & percent of ownership.
A prime contractor has completed 60% of a job. The owner has not been paying
the prime-contractor for the work performed. The prime-contractor has filed a
mechanics' lien. What is the contractor's next step?
⇒ Continue working on the job.
, 3|Page
Where must the supplier s SDS sheets be kept.
⇒ At the job site AND the office
You have determined that the job you are working on involves asbestos. What
should you do?
⇒ Stop work immediately.
According to state law, which guideline must contractors follow regarding safety
devices?
⇒ Provide, and require employees to use safety devices.
By law, the maximum hours in a week a minor can work is:
⇒ 48
An accounts receivable ledger includes all money:
⇒ Received for services, and due for services.
What is the MOST important reason contractors should review plans and
specifications with subcontractors?
