North Dakota Class D Contractor Exam –
Questions And Correct Answers (Verified
Answers) Plus Rationales 2026 Q&A |
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1. Which of the following is required before starting construction on
a new project in North Dakota?
A) Hiring an architect
B) Obtaining a building permit
C) Conducting soil testing
D) Purchasing insurance
Rationale: A building permit ensures the project meets local building
codes and zoning requirements.
2. How long must a contractor keep records of project contracts and
payments?
A) 1 year
B) 2 years
C) 3 years
D) 5 years
Rationale: North Dakota law requires contractors to maintain records
for at least three years for auditing purposes.
3. A Class D contractor is allowed to:
A) Build commercial skyscrapers
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B) Perform residential projects up to a certain size
C) Operate without a license
D) Work internationally
Rationale: Class D licenses are limited to smaller residential projects,
not large commercial buildings.
4. Which type of insurance is mandatory for North Dakota
contractors?
A) Flood insurance
B) General liability insurance
C) Life insurance
D) Health insurance
Rationale: General liability protects against property damage and
bodily injury claims related to construction work.
5. Before starting work, a contractor must provide which of the
following to the property owner?
A) Personal resume
B) Proof of license and insurance
C) A schedule of personal vacation days
D) None of the above
Rationale: Proof of license and insurance is required to legally begin
work on a project.
6. How many hours of continuing education are required annually for
Class D contractors?
A) 0 hours
B) 8 hours
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C) 16 hours
D) 24 hours
Rationale: North Dakota requires licensed contractors to complete 8
hours of continuing education to stay updated on codes and
regulations.
7. Which of the following describes a lien?
A) A type of permit
B) A government inspection
C) A legal claim against a property for unpaid work
D) A loan from a bank
Rationale: A lien allows contractors or suppliers to claim unpaid
amounts directly on the property.
8. If a contractor hires a subcontractor, who is responsible for
ensuring the subcontractor is licensed?
A) The subcontractor only
B) The contractor
C) The city inspector
D) The property owner
Rationale: The primary contractor is responsible for hiring licensed
and qualified subcontractors.
9. What is the maximum value of a project a Class D contractor can
legally undertake?
A) $10,000
B) $50,000
C) $100,000
D) No limit
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