Afsb 152 practice exam actual exam questions with complete solution guide)
(multiple choices) (a+ graded 100% verified) latest version 2025
Lansing Construction Company completed major jobs including road grading, bridges, and
base and paving work. Which one of the following types of contractors is Lansing?
· Heavy and highway construction
· General Engineering contractor
· General Building contractor
· Design/build contractor - -Heavy and highway construction
--The project owner for a new shopping plaza being built in Highville is the Highville
Municipal Property Company. The role of the project owner at the beginning of any
construction project is to
· Engage consultants in fields in which it lacks the expertise necessary for the project
· Define a need for a facility and engage an architect or an engineer
· Furnish an estimated project cost that may be used to negotiate financing for the project
· Design the facility and prepare the plans and specifications for its construction - -Define a
need for a facility and engage an architect or an engineer
--In construction contracts, the critical path method
· Ensures that, during mobilization, the crew moves big equipment from one location to
another following the shortest route, in terms of mileage
· Ensures that, during mobilization, the crew moves big equipment from one location to
another on less-used roads and during times when traffic is minimal
· Ensures that work is completed in a logical sequence and that the project is completed
within the time budget specified in the contract terms
· Ensures that all minor finishing tasks, identified in a punch list, are completed before the
project reaches substantial completion - -Ensures that work is completed in a logical
sequence and that the project is completed within the time budget specified in the contract
terms
--The party that directly benefits from the additional security of knowing that the contractor
has satisfied the surety's comprehensive prequalification review is the
· Suppliers
· Laborers
· Project Owners
· Architect or engineer - -Project Owners
--Private work is not bid as tightly as public work because all bidders usually understand that
a fair markup of a contractor's work is expected and that
- Numerous, unexpected change orders would become a nuisance
- The owner, architect, and contractor are likely to collaborate on a private project
- The quality of work on private projects is expected to meet only the specific standards
- When the contractor begins to seek extras, owners and architects believe they are being
mistreated - -Numerous, unexpected change orders would become a nuisance
,--Due to the scope of the project, Cortland Company and May Contracting agreed to a cost-
plus construction contract. Which one of the following accurately describes a cost-plus
construction contract?
- A cost-plus contract includes cost of work and a fee for overhead and profit.
- A cost-plus contract is a fixed-price contract with a changes clause.
- A cost-plus contract includes costs of materials plus labor costs.
- A cost-plus contract includes work costs agreed to in advance plus cost overruns. - -A cost-
plus contract includes cost of work and a fee for overhead and profit.
--Which one of the following correctly describes the right of an owner or a contractor to
terminate a contract?
- An owner or a contractor can terminate a contract at any time for any reasonable cause.
- Without a termination clause, an owner or a contractor can terminate a contract only for a
material breach of contract.
- Without a termination clause, an owner can terminate a contract, but a contractor cannot.
- Without a termination clause, an owner or a contractor cannot terminate a contract for
any reason. - -Without a termination clause, an owner or a contractor can terminate a
contract only for a material breach of contract.
--A limited liability company is most similar to a:
- Subchapter S corporation.
- Subchapter C corporation.
- Joint venture.
- General partnership. - -Subchapter S corporation:
- Tax liability is passed through to the individual members similar to the way tax liability is
passed to shareholders in S Corps.
--Mediation has become a favored form of dispute resolution. Which one of the following
statements is true regarding mediation?
- Mediation is the most time-consuming form of dispute resolution.
- Mediation encourages parties to make offers and counteroffers.
- Mediation develops a solution which is final and binding.
- Mediation often results in shock verdicts. - -Mediation encourages parties to make offers
and counteroffers.
--Which one of the following is correct regarding the statute of limitations for filing a lawsuit
regarding a claim under the Miller Act?
- The statute of limitations is one year.
- The statute of limitations is 90 days.
- There is no statute of limitations.
- The statute of limitations is determined by state law. - -The statute of limitations is one
year.
--Contractor Marshall has been presented with a unit-priced contract from project owner
Grayson Properties. A unit-price contract is used
- For most construction contracts.
- To provide a sharing agreement.
, - To provide a maximum guaranteed price.
- When the quantity of work cannot be determined in advance. - -When the quantity of
work cannot be determined in advance.
--Which one of the following is true regarding joint ventures?
- All partners must participate equally in a joint venture.
- All partners are always fully responsible for the entire project.
- In a silent joint venture, the silent partner has limited responsibility.
- A limited joint venture can be formed to limit an individual's participation. - -A limited joint
venture can be formed to limit an individual's participation.
--Which one of the following correctly describes those who must give notice to the prime
contractor under the Miller Act?
- Only second-tier claimants are required to give notice to the prime contractor.
- No one filing a claim under the Miller Act is required to give notice to the prime contractor.
- Only first-tier claimants are required to give notice to the prime contractor.
- All claimants are required to give notice to the prime contractor. - -Only second-tier
claimants are required to give notice to the prime contractor.
--Ewing General Contracting (EGC) entered a contract to complete a major renovation for
Ralph's Restaurant. Because Ralph's is located in a tourist town, it was important that the
construction work be completed by May 1. The construction contract included a provision
that stated that if the job was not completed by May 1, EGC would be assessed $500 a day
for each day of delay in completing the project. These damages to be paid by EGC are
known as
- Direct damages.
- Consequential damages.
- Liquidated damages.
- Actual damages. - -Liquidated damages.
--The costliest method of contract dispute resolution is typically
- Contract termination.
- Mediation.
- Arbitration.
- Litigation. - -Litigation.
--A proprietor of a sole proprietorship is
- Entitled to all the profits and responsible for a portion of liabilities.
- Entitled to all the profits and is not responsible for any liability.
- Entitled to a portion of the profits and responsible for all liabilities.
- Entitled to all the profits and responsible for all liabilities. - -Entitled to all the profits and
responsible for all liabilities.
--Which one of the following correctly describes a state mechanic's lien law?
- A state mechanic's lien law allows a laborer to file a lien against a contractor or
subcontractor.
- A state mechanic's lien law allows a contractor to file a lien against the state government.
(multiple choices) (a+ graded 100% verified) latest version 2025
Lansing Construction Company completed major jobs including road grading, bridges, and
base and paving work. Which one of the following types of contractors is Lansing?
· Heavy and highway construction
· General Engineering contractor
· General Building contractor
· Design/build contractor - -Heavy and highway construction
--The project owner for a new shopping plaza being built in Highville is the Highville
Municipal Property Company. The role of the project owner at the beginning of any
construction project is to
· Engage consultants in fields in which it lacks the expertise necessary for the project
· Define a need for a facility and engage an architect or an engineer
· Furnish an estimated project cost that may be used to negotiate financing for the project
· Design the facility and prepare the plans and specifications for its construction - -Define a
need for a facility and engage an architect or an engineer
--In construction contracts, the critical path method
· Ensures that, during mobilization, the crew moves big equipment from one location to
another following the shortest route, in terms of mileage
· Ensures that, during mobilization, the crew moves big equipment from one location to
another on less-used roads and during times when traffic is minimal
· Ensures that work is completed in a logical sequence and that the project is completed
within the time budget specified in the contract terms
· Ensures that all minor finishing tasks, identified in a punch list, are completed before the
project reaches substantial completion - -Ensures that work is completed in a logical
sequence and that the project is completed within the time budget specified in the contract
terms
--The party that directly benefits from the additional security of knowing that the contractor
has satisfied the surety's comprehensive prequalification review is the
· Suppliers
· Laborers
· Project Owners
· Architect or engineer - -Project Owners
--Private work is not bid as tightly as public work because all bidders usually understand that
a fair markup of a contractor's work is expected and that
- Numerous, unexpected change orders would become a nuisance
- The owner, architect, and contractor are likely to collaborate on a private project
- The quality of work on private projects is expected to meet only the specific standards
- When the contractor begins to seek extras, owners and architects believe they are being
mistreated - -Numerous, unexpected change orders would become a nuisance
,--Due to the scope of the project, Cortland Company and May Contracting agreed to a cost-
plus construction contract. Which one of the following accurately describes a cost-plus
construction contract?
- A cost-plus contract includes cost of work and a fee for overhead and profit.
- A cost-plus contract is a fixed-price contract with a changes clause.
- A cost-plus contract includes costs of materials plus labor costs.
- A cost-plus contract includes work costs agreed to in advance plus cost overruns. - -A cost-
plus contract includes cost of work and a fee for overhead and profit.
--Which one of the following correctly describes the right of an owner or a contractor to
terminate a contract?
- An owner or a contractor can terminate a contract at any time for any reasonable cause.
- Without a termination clause, an owner or a contractor can terminate a contract only for a
material breach of contract.
- Without a termination clause, an owner can terminate a contract, but a contractor cannot.
- Without a termination clause, an owner or a contractor cannot terminate a contract for
any reason. - -Without a termination clause, an owner or a contractor can terminate a
contract only for a material breach of contract.
--A limited liability company is most similar to a:
- Subchapter S corporation.
- Subchapter C corporation.
- Joint venture.
- General partnership. - -Subchapter S corporation:
- Tax liability is passed through to the individual members similar to the way tax liability is
passed to shareholders in S Corps.
--Mediation has become a favored form of dispute resolution. Which one of the following
statements is true regarding mediation?
- Mediation is the most time-consuming form of dispute resolution.
- Mediation encourages parties to make offers and counteroffers.
- Mediation develops a solution which is final and binding.
- Mediation often results in shock verdicts. - -Mediation encourages parties to make offers
and counteroffers.
--Which one of the following is correct regarding the statute of limitations for filing a lawsuit
regarding a claim under the Miller Act?
- The statute of limitations is one year.
- The statute of limitations is 90 days.
- There is no statute of limitations.
- The statute of limitations is determined by state law. - -The statute of limitations is one
year.
--Contractor Marshall has been presented with a unit-priced contract from project owner
Grayson Properties. A unit-price contract is used
- For most construction contracts.
- To provide a sharing agreement.
, - To provide a maximum guaranteed price.
- When the quantity of work cannot be determined in advance. - -When the quantity of
work cannot be determined in advance.
--Which one of the following is true regarding joint ventures?
- All partners must participate equally in a joint venture.
- All partners are always fully responsible for the entire project.
- In a silent joint venture, the silent partner has limited responsibility.
- A limited joint venture can be formed to limit an individual's participation. - -A limited joint
venture can be formed to limit an individual's participation.
--Which one of the following correctly describes those who must give notice to the prime
contractor under the Miller Act?
- Only second-tier claimants are required to give notice to the prime contractor.
- No one filing a claim under the Miller Act is required to give notice to the prime contractor.
- Only first-tier claimants are required to give notice to the prime contractor.
- All claimants are required to give notice to the prime contractor. - -Only second-tier
claimants are required to give notice to the prime contractor.
--Ewing General Contracting (EGC) entered a contract to complete a major renovation for
Ralph's Restaurant. Because Ralph's is located in a tourist town, it was important that the
construction work be completed by May 1. The construction contract included a provision
that stated that if the job was not completed by May 1, EGC would be assessed $500 a day
for each day of delay in completing the project. These damages to be paid by EGC are
known as
- Direct damages.
- Consequential damages.
- Liquidated damages.
- Actual damages. - -Liquidated damages.
--The costliest method of contract dispute resolution is typically
- Contract termination.
- Mediation.
- Arbitration.
- Litigation. - -Litigation.
--A proprietor of a sole proprietorship is
- Entitled to all the profits and responsible for a portion of liabilities.
- Entitled to all the profits and is not responsible for any liability.
- Entitled to a portion of the profits and responsible for all liabilities.
- Entitled to all the profits and responsible for all liabilities. - -Entitled to all the profits and
responsible for all liabilities.
--Which one of the following correctly describes a state mechanic's lien law?
- A state mechanic's lien law allows a laborer to file a lien against a contractor or
subcontractor.
- A state mechanic's lien law allows a contractor to file a lien against the state government.
