EXAC SECTION 4 - (Latest Update 2026 /
2027) Questions & Answers 100% Correct -
(Grade A)
Bond - correct answer - A financial security that represents a promise to repay a fixed
amount of funds
- Financial security for the performance of an obligation; usually a written document
supported by a pledge of collateral.
Surety - correct answer The party (company) that issues a bond which guarantees the
performance of the person bonded (in construction, the contractor) to fulfill
obligations under contract within the financial and time limitations stated in the
bond.
Warranty (warranty against the quality) - correct answer A statement of fact or
quality intended to be relied upon by another party, carrying with it an implied or
express promise to make good any breach
Certificate of Substantial Performance - correct answer A certificate issued under the
appropriate lien legislation attesting that the contract between the owner and the
contractor is substantially complete.
, Holdback - correct answer "A percentage of the monetary amount payable under a
(construction) contract, which is held back as security for a certain period of time. The
percentage and period of time are based on the provincial lien legislation."
Lien - correct answer - legal claim on real property to satisfy a debt owed to the lien
claimant by the property owner. This claim can carry the right to sell the property
upon default.
- a right to keep possession of property belonging to another person until a debt
owed by that person is discharged.
Shop Drawings - correct answer A drawing, prepared on behalf of the contractor to
indicate precise details of the construction materials, for fabrication, production or
installation.
Shop Drawing Review - correct answer First, Gen. Contractor reviews shop drawings.
Second, architect and consultant review (snd approved construction dwgs prior to
fabrication). Lastly, shop drawings are returned to contractor for use, use w/ change,
or resubmission.
General Review/ Field Review - correct answer "Review during visits to the Project site
(at intervals appropriate to the stage of the construction)" ... "to determine that the
Work is in general conformity with the construction documents."
Project Management - correct answer "The process of planning, scheduling, directing,
organizing and controlling all resources (financial, physical and human) from the start
to the completion of the project goals and objectives." In many projects, the owner is,
by default, the Project Manager (PM)."
2027) Questions & Answers 100% Correct -
(Grade A)
Bond - correct answer - A financial security that represents a promise to repay a fixed
amount of funds
- Financial security for the performance of an obligation; usually a written document
supported by a pledge of collateral.
Surety - correct answer The party (company) that issues a bond which guarantees the
performance of the person bonded (in construction, the contractor) to fulfill
obligations under contract within the financial and time limitations stated in the
bond.
Warranty (warranty against the quality) - correct answer A statement of fact or
quality intended to be relied upon by another party, carrying with it an implied or
express promise to make good any breach
Certificate of Substantial Performance - correct answer A certificate issued under the
appropriate lien legislation attesting that the contract between the owner and the
contractor is substantially complete.
, Holdback - correct answer "A percentage of the monetary amount payable under a
(construction) contract, which is held back as security for a certain period of time. The
percentage and period of time are based on the provincial lien legislation."
Lien - correct answer - legal claim on real property to satisfy a debt owed to the lien
claimant by the property owner. This claim can carry the right to sell the property
upon default.
- a right to keep possession of property belonging to another person until a debt
owed by that person is discharged.
Shop Drawings - correct answer A drawing, prepared on behalf of the contractor to
indicate precise details of the construction materials, for fabrication, production or
installation.
Shop Drawing Review - correct answer First, Gen. Contractor reviews shop drawings.
Second, architect and consultant review (snd approved construction dwgs prior to
fabrication). Lastly, shop drawings are returned to contractor for use, use w/ change,
or resubmission.
General Review/ Field Review - correct answer "Review during visits to the Project site
(at intervals appropriate to the stage of the construction)" ... "to determine that the
Work is in general conformity with the construction documents."
Project Management - correct answer "The process of planning, scheduling, directing,
organizing and controlling all resources (financial, physical and human) from the start
to the completion of the project goals and objectives." In many projects, the owner is,
by default, the Project Manager (PM)."
