MANAGER (ACQ) EXAM 2026 WITH VERIFIED
QUESTIONS AND ANSWERS|| ALREADY
GRADED A+
Section 1: Licensing, Regulatory Framework & The Alarm Company Act
(Q1–Q40)
Q1. Which California agency is responsible for issuing the Alarm Company
Operator (ACO) license and Qualified Manager certificate?
A: The Bureau of Security and Investigative Services (BSIS), a division of the
Department of Consumer Affairs.
Q2. What is the minimum age requirement to apply for a California Alarm
Company Qualified Manager certificate?
A: 18 years old.
Q3. How many hours of compensated alarm company work experience are
required to qualify for the Qualified Manager examination?
A: 4,000 hours (equivalent to two years of full-time work).
Q4. The California Alarm Company Act is found in which section of the
Business and Professions Code?
A: BPC § 7590–7599.75.
Q5. Which agency licenses and regulates Alarm Company Operators in
California?
A: The Bureau of Security and Investigative Services (BSIS).
Q6. How many different licensed alarm companies can a single Qualified
Manager actively manage at the same time?
A: Only one license entity at a time.
Q7. What is the minimum passing score on the California Alarm Company
Qualified Manager examination?
,A: A score of 70% or higher is required (BSIS does not publicly disclose a
specific percentage, but 70% is the widely accepted standard).
Q8. Under the Alarm Company Act, an "alarm company" is best defined
as a person who:
A: Sells, installs, monitors, maintains, alters, services, or responds to alarm
systems for compensation.
Q9. Which of the following is NOT a function that requires an alarm
company operator license?
A: Manufacturing alarm equipment for wholesale distribution only.
Q10. What is the primary purpose of the California Alarm Company Act?
A: To regulate the alarm company industry and protect consumers by
establishing licensing, registration, and operational standards.
Q11. A retail store that sells alarm systems only at its physical location and
does not install or service them:
A: May sell without an ACO license, but may not perform other alarm company
functions.
Q12. Which of the following best describes an "alarm agent"?
A: A person employed by an alarm company to sell, install, monitor, maintain,
service, or respond to alarm systems, or to supervise these activities.
Q13. Does an Alarm Agent need to be registered before starting work?
A: Yes, an alarm agent must be registered with BSIS before performing any
duties.
Q14. What is the retention period for alarm company records under BSIS
regulations?
A: At least three years.
Q15. How many hours of continuing education are required for a Qualified
Manager every three years?
A: 8 hours every 3 years.
Q16. What is the penalty for late renewal of a Qualified Manager
certificate?
A: A late renewal penalty fee is assessed, and the license may be suspended or
revoked if not renewed.
Q17. What is the maximum fine per violation that BSIS can impose on an
alarm company?
A: Up to $2,500 per violation.
, Q18. Which of the following is a valid ground for disciplinary action
against an alarm company operator?
A: Fraud, deceit, incompetence, or any act constituting dishonesty in the
performance of duties.
Q19. What background check is required for ACQ applicants?
A: A criminal history background check through both the California
Department of Justice (DOJ) and the FBI via Live Scan fingerprinting.
Q20. What happens if an applicant fails to complete their application
within one year after it has been filed?
A: The application is considered abandoned and the fee is forfeited.
Q21. Which Article of the California Code of Regulations contains the rules
for "Alarm Company Operators, Guards, Patrolperson, Alarm Agents"?
A: Article 6.
Q22. What is the minimum general aggregate liability insurance required
for an alarm company organized as an LLC?
A: $1,000,000 (one million dollars).
Q23. Can an alarm company operate as a sole proprietorship?
A: Yes, but the individual must hold a valid ACO license and meet all BSIS
requirements.
Q24. What must be included in an alarm company's advertisement?
A: The company's license number must be included in all advertisements.
Q25. What is the required notice period for an alarm company to inform
BSIS of a change of address?
A: Within 30 days of the change.
Q26. What is the role of the "Chief" in the Alarm Company Act?
A: The Chief of BSIS is the administrative officer responsible for enforcing the
Alarm Company Act.
Q27. What is a "branch office" under the Alarm Company Act?
A: A location other than the principal place of business where alarm company
operations are conducted.
Q28. What is the maximum number of alarm agents a Qualified Manager
can supervise?
A: There is no statutory maximum; the QM must ensure proper supervision of
all agents.