MICHIGAN'S RESIDENTIAL BUILDER EXAM
FULLY SOLVED & UPDATED 2025-2026(LATEST
VERSION VERIFIED FOR ACCURACY)
1. All of the following are calculated based on the employees earnings. The employee
pays a portion of each except for ____ which is paid entirely by the employer. -Correct
Answer -Federal unemployment tax
2. What is a disadvantage of using the accrual method of accounting? -Correct Answer -
This system requires more recordkeeping
3. If a contractor is FUTA liability exceeds ____, then FUTA taxes are deposited quarterly. -
Correct Answer -500
4. The Good Contractor Co. needs to find their working capital ratio. Their current assets
are $30,000 and their current liabilities are $15,000. What is the working capital ratio? -
Correct Answer -2
5. The ____ summarizes the cash inflows and outflows from operating, investing, and
financing activities during a special time. -Correct Answer -Cash Flow Statement
6. At a minimum, deposit of taxes withheld must be made on a ____ basis. -Correct
Answer -Monthly
,7. When it comes to comparing short-term and long-term income with the timeframe
when costs and expenses were incurred it would be best to -Correct Answer -Match
the inflow and outflow of cash in place both in the same tax period.
8. What is the formula for finding the gross profit for sales ratio? -Correct Answer -Total
sales - cost of goods sold / total sales
9. Jasmine the contractor is having a busy year for work. She has three long-term
projects going on at once and there have been at least 10 short term project
completed throughout the year. Jasmine does her own bookkeeping in the best
practice would be for her do you want? -Correct Answer -Keep separate ledgers for
short term and long term accounts receivable
10. The ____ shows the business's financial condition during a specific period of time, while
the ____ shows activity over time. -Correct Answer -Balance sheet, income statement
11. Why should blocking be used in the installation of cabinetry? -Correct Answer -To
ensure that the cabinet and its contents remain securely fastened to the wall
12. Which of these is NOT an element of housewrap? -Correct Answer -Housewrap is the
traditional method for protecting sheathing
13. Notches in a loadbearing wall cannot exceed ____ percent of width. -Correct Answer -
25
, 14. The maximum spacing allowed between various sizes of joists and rafters is called
what? -Correct Answer -On center spacing
15. What term usually refers to narrow length of wood with a shaped profile? -Correct
Answer -Molding
16. What is the girder span constructed of three 2x10s for an exterior bearing wall
supporting a floor and ceiling with a snow load of 50 PSF in a building 28 feet wide? -
Correct Answer -7-10
17. Diagonal bracing is necessary for the lateral strength of a wall. In all exterior walls
bracing should be placed at both ends and at ____-foot intervals -Correct Answer -25
18. To which of the following references would you prefer to determine how many joists
or rafters you would need? -Correct Answer -A span table
19. _____ do not require the formwork of solid concrete foundation walls, but do you need
reinforcement from rebar or pilasters. -Correct Answer -Concrete blocks
20. The biggest percentage of concrete mix is due to: -Correct Answer -Aggregate
21. When performing a slump test, the concrete should be poured into the slump cone
and three layers, each of which is "riddled in" with ___ strokes of a tamping rod. -
Correct Answer -25
FULLY SOLVED & UPDATED 2025-2026(LATEST
VERSION VERIFIED FOR ACCURACY)
1. All of the following are calculated based on the employees earnings. The employee
pays a portion of each except for ____ which is paid entirely by the employer. -Correct
Answer -Federal unemployment tax
2. What is a disadvantage of using the accrual method of accounting? -Correct Answer -
This system requires more recordkeeping
3. If a contractor is FUTA liability exceeds ____, then FUTA taxes are deposited quarterly. -
Correct Answer -500
4. The Good Contractor Co. needs to find their working capital ratio. Their current assets
are $30,000 and their current liabilities are $15,000. What is the working capital ratio? -
Correct Answer -2
5. The ____ summarizes the cash inflows and outflows from operating, investing, and
financing activities during a special time. -Correct Answer -Cash Flow Statement
6. At a minimum, deposit of taxes withheld must be made on a ____ basis. -Correct
Answer -Monthly
,7. When it comes to comparing short-term and long-term income with the timeframe
when costs and expenses were incurred it would be best to -Correct Answer -Match
the inflow and outflow of cash in place both in the same tax period.
8. What is the formula for finding the gross profit for sales ratio? -Correct Answer -Total
sales - cost of goods sold / total sales
9. Jasmine the contractor is having a busy year for work. She has three long-term
projects going on at once and there have been at least 10 short term project
completed throughout the year. Jasmine does her own bookkeeping in the best
practice would be for her do you want? -Correct Answer -Keep separate ledgers for
short term and long term accounts receivable
10. The ____ shows the business's financial condition during a specific period of time, while
the ____ shows activity over time. -Correct Answer -Balance sheet, income statement
11. Why should blocking be used in the installation of cabinetry? -Correct Answer -To
ensure that the cabinet and its contents remain securely fastened to the wall
12. Which of these is NOT an element of housewrap? -Correct Answer -Housewrap is the
traditional method for protecting sheathing
13. Notches in a loadbearing wall cannot exceed ____ percent of width. -Correct Answer -
25
, 14. The maximum spacing allowed between various sizes of joists and rafters is called
what? -Correct Answer -On center spacing
15. What term usually refers to narrow length of wood with a shaped profile? -Correct
Answer -Molding
16. What is the girder span constructed of three 2x10s for an exterior bearing wall
supporting a floor and ceiling with a snow load of 50 PSF in a building 28 feet wide? -
Correct Answer -7-10
17. Diagonal bracing is necessary for the lateral strength of a wall. In all exterior walls
bracing should be placed at both ends and at ____-foot intervals -Correct Answer -25
18. To which of the following references would you prefer to determine how many joists
or rafters you would need? -Correct Answer -A span table
19. _____ do not require the formwork of solid concrete foundation walls, but do you need
reinforcement from rebar or pilasters. -Correct Answer -Concrete blocks
20. The biggest percentage of concrete mix is due to: -Correct Answer -Aggregate
21. When performing a slump test, the concrete should be poured into the slump cone
and three layers, each of which is "riddled in" with ___ strokes of a tamping rod. -
Correct Answer -25
