VIRGINIA HOME IMPROVEMENT
CONTRACTING FULL SOLUTION PAPER
2026 QUESTIONS WITH ANSWERS
GRADED A+
◉Which of the following are benefits of using estimating software?
Answer: -professional looking reports
-alleviate many errors
-reference databases
◉Profit is the amount of money left over after a project is 100
percent complete, and referred to as net, or clear profit. Answer:
True
◉Items not specified in the project plans, such as plumbing fixtures,
electrical fixtures, flooring.... can be handled by negotiating a budget
for these items not yet decided upon. These additional monies set
aside for the owner to go shopping with are called? Answer:
allowances
◉The cost of having employees includes their hourly wage, and
other expenses not included in their wage such as, matching Social
,Security and Medicare contributions and unemployment and
workers compensation expenses. These additional costs, over and
above wages is called _________________. Answer: labor burden
◉Requiring bidders to include qualifications in a bid helps to ensure
_________ . Answer: -competence
-capacity
-experience
◉An excavation project requires the removal and hauling of an
undetermined amount of fill material. Since the amount of work is
not defined, the contractor quotes a certain amount per cubic yard
on the bid form. This amount incudes equipment rental and
maintenance costs, labor costs, fixed overhead costs and profit. This
is an example of what type of estimate? Answer: unit price estimate
◉When using subcontractors, be sure to clearly describe the level of
quality expected in their job specifications, this will help them _____
the job accordingly. Answer: bid
◉Temporary storage facilities, dumpsters and utilities are
considered _________ overhead. Answer: project
◉Indirect labor costs like taxes and insurance are sometimes
referred to as ______________________________. Answer: Labor Burden
, ◉A contractor should not only consider the costs of equipment
needed to build the project, whether owned or rented, but also the
operating/maintenance expenses, repair of, storage, delivery,
finance cost, insurance, and taxes. Answer: true
◉When adding profit to an estimate, the value is usually
___________________________. Answer: A percentage of the total job cost
◉What are the first steps in completing an estimate? Answer: -
Review project documents
-Conduct environmental assessments
-Inspect the job site
◉Unit price estimates consist of assigning costs to each separate
unit of construction. Answer: true
◉A complete list of all of the materials and items of work that would
be required to complete a project are __________________ . Answer:
quantity surveys (take off)
◉It is always wise to choose the subcontractor who provides the
lowest bid. Answer: false
CONTRACTING FULL SOLUTION PAPER
2026 QUESTIONS WITH ANSWERS
GRADED A+
◉Which of the following are benefits of using estimating software?
Answer: -professional looking reports
-alleviate many errors
-reference databases
◉Profit is the amount of money left over after a project is 100
percent complete, and referred to as net, or clear profit. Answer:
True
◉Items not specified in the project plans, such as plumbing fixtures,
electrical fixtures, flooring.... can be handled by negotiating a budget
for these items not yet decided upon. These additional monies set
aside for the owner to go shopping with are called? Answer:
allowances
◉The cost of having employees includes their hourly wage, and
other expenses not included in their wage such as, matching Social
,Security and Medicare contributions and unemployment and
workers compensation expenses. These additional costs, over and
above wages is called _________________. Answer: labor burden
◉Requiring bidders to include qualifications in a bid helps to ensure
_________ . Answer: -competence
-capacity
-experience
◉An excavation project requires the removal and hauling of an
undetermined amount of fill material. Since the amount of work is
not defined, the contractor quotes a certain amount per cubic yard
on the bid form. This amount incudes equipment rental and
maintenance costs, labor costs, fixed overhead costs and profit. This
is an example of what type of estimate? Answer: unit price estimate
◉When using subcontractors, be sure to clearly describe the level of
quality expected in their job specifications, this will help them _____
the job accordingly. Answer: bid
◉Temporary storage facilities, dumpsters and utilities are
considered _________ overhead. Answer: project
◉Indirect labor costs like taxes and insurance are sometimes
referred to as ______________________________. Answer: Labor Burden
, ◉A contractor should not only consider the costs of equipment
needed to build the project, whether owned or rented, but also the
operating/maintenance expenses, repair of, storage, delivery,
finance cost, insurance, and taxes. Answer: true
◉When adding profit to an estimate, the value is usually
___________________________. Answer: A percentage of the total job cost
◉What are the first steps in completing an estimate? Answer: -
Review project documents
-Conduct environmental assessments
-Inspect the job site
◉Unit price estimates consist of assigning costs to each separate
unit of construction. Answer: true
◉A complete list of all of the materials and items of work that would
be required to complete a project are __________________ . Answer:
quantity surveys (take off)
◉It is always wise to choose the subcontractor who provides the
lowest bid. Answer: false
