QUESTIONS WITH ANSWERS
GUARANTEED TO PASS.
■ When a home improvement contract is signed, the contractor must
substantially begin work within ____ days of the date specified in the
contract?
A. 5
B. 10
C. 15
D. 20. Answer- D. 20
■ Which is true concerning home improvement sales persons?
A. They must register with the Registrar's office and may work for only
one contractor at a time
B. Anyone who sells home improvement contracts for a licensed
contractor outside the contractor's normal place of business is required to
be registered with the Attorney General's office
C. They must be at least 18 years of age. There are no residency or
educational requirements
D. They may begin to negotiate home improvement contracts as soon as
they have filled out the appropriate application and paid the required
fees. Answer- C. They must be at least 18 years of age. There are no
,residency or educational requirements - must register for "each"
contractor with the Registrar and receive a registration number first
■ Judy, a contractor, employs Sam as her registered home improvement
salesperson. Sam meets with Mr. And Mrs. Jones and negotiates home
improvement work that totals $350. When Sam returns to his boss and
tells her of the verbal contract, his employer says she will not work for
the contracted price. The Contractor's License Law states:
A. The contractor is required by law to abide by the verbal agreement
since verbal home improvement contracts under $500 are binding
B. The contractor is not bound by a verbal agreement
C. The contractor may cancel a home improvement contract that she did
not negotiate
D. The contractor is not bound by the contract since all home
improvement contracts must be in writting. Answer- A. When registered
salespersons enter into an agreement, verbal or written, they are bound
by it. They are acting as the agent of the contractor. Verbal improvement
contracts are legal and binding
■ Which type of contract can be cancelled by a consumer?
A. Sub contract
B. Home solicitation contract which involves fencing, burglar alarm,
carpentry and texture coating
C. Prime construction contract
D. Home improvement contract involving free standing bookcases, rugs
and window air conditioner. Answer- B. Home solicitation contract
, which involves fencing, burglar alarm, carpentry and texture coating -
only home solicited contracts can be cancelled which contain
"permanent fixtures"
■ A consumer may cancel a home solicitation contract at any time prior
to midnight of the ___ business day after the date of the transaction.
A. 1st
B. 2nd
C. 3rd
D. 5th. Answer- C. 3rd
■ If an owner cancels a home solicitation contract on March 20, by what
date must the contractor return the down payment?
A. April 23
B. March 30
C. April 1
D. April 20. Answer- B. March 30 -10 Days
■ A notice canceling a home solicitation contract becomes effective:
A. When the written notice is deposited in the mail
B. When signed by the owner
C. The day the owner cancels by telephone