NASCLA Business and Law Exam 2026
Questions and Answers
23. The maximum number of shareholders permitted within an S corporation is? -
Correct answer-100
13. South Carolina State law requires an employer of ____ or more employees to
notify each employee in writing at the time of hiring of the wages agreed upon. -
Correct answer-5
24. A lawsuit to foreclose on the lien must be filed within _____ months after the
lienor last provided materials and/or labor for the construction project. - Correct
answer-6 months
25. The state unemployment tax rate is 1.39 percent on the first _____________ of
earned income for new companies? - Correct answer-$14,000
26. The most important aspect of a contract is _____________. - Correct answer-
understanding
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, 27. A ___________ is used when an owner contracts with one company to
complete the construction process from the start to finish and purchase land. -
Correct answer-Turnkey
28. The state unemployment tax rate is _____ percent on the first $14,000. (2016) -
Correct answer-1.39
29. When the cost of an undertaking performed by a residential specialty contractor
for an individual property owner exceeds _____, the contractor must obtain an
executed bond with a surety in an amount approved by the commission. - Correct
answer-$5,000
30. If the contact is ambiguous, the interpretation will go against whom? - Correct
answer-The party who wrote the contact
31. Who determines progress/final payments? - Correct answer-Architect
32. The construction industry Payment Protection Act of 1999 states ___________.
- Correct answer-Payment bond protections are void before work begins
12. Who pays for FUTA(unemployment taxes) - Correct answer-Employer
11.. An EAP is required to be in writing for more than _________ employees. -
Correct answer-10
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
Questions and Answers
23. The maximum number of shareholders permitted within an S corporation is? -
Correct answer-100
13. South Carolina State law requires an employer of ____ or more employees to
notify each employee in writing at the time of hiring of the wages agreed upon. -
Correct answer-5
24. A lawsuit to foreclose on the lien must be filed within _____ months after the
lienor last provided materials and/or labor for the construction project. - Correct
answer-6 months
25. The state unemployment tax rate is 1.39 percent on the first _____________ of
earned income for new companies? - Correct answer-$14,000
26. The most important aspect of a contract is _____________. - Correct answer-
understanding
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
, 27. A ___________ is used when an owner contracts with one company to
complete the construction process from the start to finish and purchase land. -
Correct answer-Turnkey
28. The state unemployment tax rate is _____ percent on the first $14,000. (2016) -
Correct answer-1.39
29. When the cost of an undertaking performed by a residential specialty contractor
for an individual property owner exceeds _____, the contractor must obtain an
executed bond with a surety in an amount approved by the commission. - Correct
answer-$5,000
30. If the contact is ambiguous, the interpretation will go against whom? - Correct
answer-The party who wrote the contact
31. Who determines progress/final payments? - Correct answer-Architect
32. The construction industry Payment Protection Act of 1999 states ___________.
- Correct answer-Payment bond protections are void before work begins
12. Who pays for FUTA(unemployment taxes) - Correct answer-Employer
11.. An EAP is required to be in writing for more than _________ employees. -
Correct answer-10
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
