PE ETHICS EXAM ANSWERS BASED ON
THE TEXAS ENGINEERING PRACTICE
ACT AND BOARD RULES (2026-2027
UPDATE)
Scenario 1 – Conflict of Interest and Professional
Responsibility (Q1–Q4)
David is a licensed Professional Engineer (PE) employed by a consulting engineering firm. The
firm is evaluating bids for a municipal wastewater treatment project. David secretly owns stock
in one of the contractors submitting a proposal. During the evaluation process, he recommends
that contractor without disclosing his financial interest.
Later, another engineer discovers the conflict after reviewing public financial records. The
municipality questions whether David violated the Texas Engineering Practice Act and Board
Rules.
Q1. Which Board Rule most directly requires engineers to avoid conflicts of
interest and disclose any financial interests?
A) §137.55(a)
B) §137.57(a)
C) §137.63(c)
D) §137.33(a)
E) §137.59(d)
Answer: B
Explanation: Engineers must disclose conflicts of interest that could influence their professional
judgment.
Q2. David's recommendation without disclosure primarily violates which ethical
principle?
,A) Confidentiality
B) Professional objectivity
C) Advertising standards
D) Continuing education
E) Engineering economics
Answer: B
Explanation: Engineers must exercise independent professional judgment free from personal
financial influence.
Q3. What should David have done before participating in the contractor
evaluation?
A) Keep his investment confidential
B) Sell the stock after the contract award
C) Disclose the conflict and recuse himself from the evaluation
D) Ask another employee to submit his recommendation
E) Vote anonymously
Answer: C
Explanation: Disclosure and recusal protect the integrity of the procurement process.
Q4. The primary purpose of conflict-of-interest rules is to:
A) Increase project costs
B) Protect public confidence in engineering decisions
C) Reduce competition
D) Simplify procurement
, E) Increase engineer salaries
Answer: B
Explanation: Public trust depends on engineers making objective, unbiased decisions.
Scenario 2 – Competence and Scope of Practice (Q5–Q8)
Emily is a licensed civil engineer. A client asks her to design the electrical distribution system
for a manufacturing facility because the company wants to save money by hiring only one
engineer. Emily has very little experience in electrical engineering but accepts the assignment
without consulting a qualified electrical engineer.
Q5. Which ethical principle is most directly involved?
A) Engineers should only practice in areas of competence.
B) Engineers should maximize profits.
C) Engineers should accept every assignment.
D) Engineers should avoid continuing education.
E) Engineers should delegate all work.
Answer: A
Explanation: Engineers must perform services only in fields where they are qualified through
education or experience.
Q6. Emily should have:
A) Accepted the work without concern
B) Consulted or partnered with a qualified electrical engineer
C) Copied another engineer's design
D) Allowed the contractor to complete the design
THE TEXAS ENGINEERING PRACTICE
ACT AND BOARD RULES (2026-2027
UPDATE)
Scenario 1 – Conflict of Interest and Professional
Responsibility (Q1–Q4)
David is a licensed Professional Engineer (PE) employed by a consulting engineering firm. The
firm is evaluating bids for a municipal wastewater treatment project. David secretly owns stock
in one of the contractors submitting a proposal. During the evaluation process, he recommends
that contractor without disclosing his financial interest.
Later, another engineer discovers the conflict after reviewing public financial records. The
municipality questions whether David violated the Texas Engineering Practice Act and Board
Rules.
Q1. Which Board Rule most directly requires engineers to avoid conflicts of
interest and disclose any financial interests?
A) §137.55(a)
B) §137.57(a)
C) §137.63(c)
D) §137.33(a)
E) §137.59(d)
Answer: B
Explanation: Engineers must disclose conflicts of interest that could influence their professional
judgment.
Q2. David's recommendation without disclosure primarily violates which ethical
principle?
,A) Confidentiality
B) Professional objectivity
C) Advertising standards
D) Continuing education
E) Engineering economics
Answer: B
Explanation: Engineers must exercise independent professional judgment free from personal
financial influence.
Q3. What should David have done before participating in the contractor
evaluation?
A) Keep his investment confidential
B) Sell the stock after the contract award
C) Disclose the conflict and recuse himself from the evaluation
D) Ask another employee to submit his recommendation
E) Vote anonymously
Answer: C
Explanation: Disclosure and recusal protect the integrity of the procurement process.
Q4. The primary purpose of conflict-of-interest rules is to:
A) Increase project costs
B) Protect public confidence in engineering decisions
C) Reduce competition
D) Simplify procurement
, E) Increase engineer salaries
Answer: B
Explanation: Public trust depends on engineers making objective, unbiased decisions.
Scenario 2 – Competence and Scope of Practice (Q5–Q8)
Emily is a licensed civil engineer. A client asks her to design the electrical distribution system
for a manufacturing facility because the company wants to save money by hiring only one
engineer. Emily has very little experience in electrical engineering but accepts the assignment
without consulting a qualified electrical engineer.
Q5. Which ethical principle is most directly involved?
A) Engineers should only practice in areas of competence.
B) Engineers should maximize profits.
C) Engineers should accept every assignment.
D) Engineers should avoid continuing education.
E) Engineers should delegate all work.
Answer: A
Explanation: Engineers must perform services only in fields where they are qualified through
education or experience.
Q6. Emily should have:
A) Accepted the work without concern
B) Consulted or partnered with a qualified electrical engineer
C) Copied another engineer's design
D) Allowed the contractor to complete the design
