VA Contractors: General (Class A or B) questions with correct answers

Which of the following estimating methods is typically used by the architect rather than the contractor? CORRECT ANSWER Conceptual estimate An agreement that calls for a contractor to be paid actual costs for labor and materials plus a fixed fee for the contractor's overhead and profit is called a... CORRECT ANSWER cost plus contract Equipment needs for a project are BEST estimated by... CORRECT ANSWER Calculating the number of hours or days it is needed What type of insurance is needed for a partnership to insure that the business does NOT go out of business if one partner dies? CORRECT ANSWER Key man An owner hires a construction manager for a project. Which of the following is TRUE with regard to subcontractors? CORRECT ANSWER The subcontractors are prime contractors What protects a contractor from risk? CORRECT ANSWER Insurance An ADVANTAGE of a Critical Path Method (CPM) schedule is it... CORRECT ANSWER Identifies activities that MUST be completed before other activities can occur What may be covered by an allowance in a contract? CORRECT ANSWER Light fixture costs