CCIFP COMPREHENSIVE EXAM QUESTIONS
WITH DETAILED VERIFIED ANSWERS
on a typical construction project whereby the owner has requested
| | | | | | | | | |
performance and payment bonds from the general contractor, the
| | | | | | | | |
owner is referred to as the...... - CORRECT ANSWER✔✔-obligee
| | | | | | | |
when computing the taxable income for a proposed capital project, the
| | | | | | | | | | |
financial manager should use which tax rate?? - CORRECT ANSWER✔✔-
| | | | | | | | |
marginal
what coverage trigger is used with commercial general liability policy
| | | | | | | | | |
when the insurance policy in effect at the time the property damage
| | | | | | | | | | | |
loss occurs respond to that loss, regardless of when the contractor
| | | | | | | | | | |
learns about the loss or when a claim is filed against the contractor -
| | | | | | | | | | | | | |
CORRECT ANSWER✔✔-Occurrence Trigger
| |
Pursuant to GAAP, which of the following methods of recognizing
| | | | | | | | | |
revenue is most frequently used in construction accounting? - CORRECT
| | | | | | | | | |
ANSWER✔✔-Percentage of Completion Method | | |
,Contractors can maximize controls over cash disbursements by
| | | | | | | |
implementing some of the following..... 15.06 [2] - CORRECT | | | | | | | | |
ANSWER✔✔-1) Knowing vendor systems | | |
2) Using Controlled Disbursement bank Accounts
| | | | |
3) Implementing an open purchase order/contract commitment system
| | | | | | |
4) Soliciting Cooperation from Project Management to minimize early
| | | | | | | | |
Payments to subcontractors and suppliers | | | |
What role do Domain Controllers Serve within an Active Directory? -
| | | | | | | | | | |
CORRECT ANSWER✔✔-To manage trust among the domains by granting
| | | | | | | |
access to users from one domain to the other via a proper security
| | | | | | | | | | | | | |
authentication process. |
a construction company should record interest rate swaps purchased for
| | | | | | | | |
business purposes using which method of valuation? 3.12 [1] -
| | | | | | | | | | |
CORRECT ANSWER✔✔-Fair Market Value | | |
Which of the Following contract provisions is exculpatory? - CORRECT
| | | | | | | | | |
ANSWER✔✔-No damages for delay clause | | | |
Section 460 of the Internal Revenue Code defines the following? 29.03
| | | | | | | | | | |
[b] - CORRECT ANSWER✔✔-29.03 [b]
| | | |
, ABC company hires a subcontractor to work on a project that will span
| | | | | | | | | | | | |
over 5 years. the subcontract amount is $500,000 and is to be billed
| | | | | | | | | | | | |
monthly by ABC. Retention of 10% is to be held until the subcontract
| | | | | | | | | | | | |
reaches 75% complete and the owner of the project has approved the
| | | | | | | | | | | |
release of retention. how should ABC company record the subcontractor
| | | | | | | | |
retention on its records in the first year of the project? 3.09[pgs. 3-27] -
| | | | | | | | | | | | | | |
CORRECT ANSWER✔✔-current-liability |
under the completed contract method of accounting, how are general
| | | | | | | | | |
and administrative cost realized on the income statement? - CORRECT
| | | | | | | | | |
ANSWER✔✔-Expensed and recognized in the year incurred. | | | | | |
The length of a contractors operation cycle determines what is
| | | | | | | | | |
considered a current asset or liability for their classified balance sheet. it
| | | | | | | | | | |
has become common practice in the construction industry to classify all
| | | | | | | | | | | |
contract-related assets and liabilities as current based on what | | | | | | | | |
measurement? - CORRECT ANSWER✔✔-average length of their | | | | | | |
contract.
five steps of strategic planning are: develop an internal understanding of
| | | | | | | | | |
|existing businesses, identify new business opportunities,
| | | | | |
______________, develop a strategic plan, implement the plan. - | | | | | | | | |
CORRECT ANSWER✔✔-analyze alternatives | |
a loss or claim under a surety bond is generally triggered by.... -
| | | | | | | | | | | | |
CORRECT ANSWER✔✔-a default of the contract
| | | | |
WITH DETAILED VERIFIED ANSWERS
on a typical construction project whereby the owner has requested
| | | | | | | | | |
performance and payment bonds from the general contractor, the
| | | | | | | | |
owner is referred to as the...... - CORRECT ANSWER✔✔-obligee
| | | | | | | |
when computing the taxable income for a proposed capital project, the
| | | | | | | | | | |
financial manager should use which tax rate?? - CORRECT ANSWER✔✔-
| | | | | | | | |
marginal
what coverage trigger is used with commercial general liability policy
| | | | | | | | | |
when the insurance policy in effect at the time the property damage
| | | | | | | | | | | |
loss occurs respond to that loss, regardless of when the contractor
| | | | | | | | | | |
learns about the loss or when a claim is filed against the contractor -
| | | | | | | | | | | | | |
CORRECT ANSWER✔✔-Occurrence Trigger
| |
Pursuant to GAAP, which of the following methods of recognizing
| | | | | | | | | |
revenue is most frequently used in construction accounting? - CORRECT
| | | | | | | | | |
ANSWER✔✔-Percentage of Completion Method | | |
,Contractors can maximize controls over cash disbursements by
| | | | | | | |
implementing some of the following..... 15.06 [2] - CORRECT | | | | | | | | |
ANSWER✔✔-1) Knowing vendor systems | | |
2) Using Controlled Disbursement bank Accounts
| | | | |
3) Implementing an open purchase order/contract commitment system
| | | | | | |
4) Soliciting Cooperation from Project Management to minimize early
| | | | | | | | |
Payments to subcontractors and suppliers | | | |
What role do Domain Controllers Serve within an Active Directory? -
| | | | | | | | | | |
CORRECT ANSWER✔✔-To manage trust among the domains by granting
| | | | | | | |
access to users from one domain to the other via a proper security
| | | | | | | | | | | | | |
authentication process. |
a construction company should record interest rate swaps purchased for
| | | | | | | | |
business purposes using which method of valuation? 3.12 [1] -
| | | | | | | | | | |
CORRECT ANSWER✔✔-Fair Market Value | | |
Which of the Following contract provisions is exculpatory? - CORRECT
| | | | | | | | | |
ANSWER✔✔-No damages for delay clause | | | |
Section 460 of the Internal Revenue Code defines the following? 29.03
| | | | | | | | | | |
[b] - CORRECT ANSWER✔✔-29.03 [b]
| | | |
, ABC company hires a subcontractor to work on a project that will span
| | | | | | | | | | | | |
over 5 years. the subcontract amount is $500,000 and is to be billed
| | | | | | | | | | | | |
monthly by ABC. Retention of 10% is to be held until the subcontract
| | | | | | | | | | | | |
reaches 75% complete and the owner of the project has approved the
| | | | | | | | | | | |
release of retention. how should ABC company record the subcontractor
| | | | | | | | |
retention on its records in the first year of the project? 3.09[pgs. 3-27] -
| | | | | | | | | | | | | | |
CORRECT ANSWER✔✔-current-liability |
under the completed contract method of accounting, how are general
| | | | | | | | | |
and administrative cost realized on the income statement? - CORRECT
| | | | | | | | | |
ANSWER✔✔-Expensed and recognized in the year incurred. | | | | | |
The length of a contractors operation cycle determines what is
| | | | | | | | | |
considered a current asset or liability for their classified balance sheet. it
| | | | | | | | | | |
has become common practice in the construction industry to classify all
| | | | | | | | | | | |
contract-related assets and liabilities as current based on what | | | | | | | | |
measurement? - CORRECT ANSWER✔✔-average length of their | | | | | | |
contract.
five steps of strategic planning are: develop an internal understanding of
| | | | | | | | | |
|existing businesses, identify new business opportunities,
| | | | | |
______________, develop a strategic plan, implement the plan. - | | | | | | | | |
CORRECT ANSWER✔✔-analyze alternatives | |
a loss or claim under a surety bond is generally triggered by.... -
| | | | | | | | | | | | |
CORRECT ANSWER✔✔-a default of the contract
| | | | |
