TN Business Law Questions and Answers Already Passed

TN Business Law Questions and Answers Already Passed Total direct costs for a project are $45,000. Your overhead expenses are 12%. You expect to make $9,500 in profit on this job. What should your total bid price be? $45,000/.88+$9,500=$60,636 Total direct costs/(1-overhead expenses) + profit expected= total bid price What is the penalty if someone lies in a Notice to Lien about the amount due? No recovery may be allowed. What is required of the Prime Contractor when submitting a bid? Make sure all the instructions in the bid package are followed. Cost control estimating Tracks costs to prevent overruns When might an inactive license holder bid on a job? Never What's is the best way to resolve a breach of contract? Alternative Dispute Resolution (ADR) Under the Fair Labor Standards Act, what is a laborer considered? Skilled labor, unskilled labor, exempt employee, non-exempt employee ABC Contracting wants to submit a bid on a project that is higher than their Monetary Limit. When must they apply for a Monetary Limit increase? Before submitting the bid Employee handbooks items not needed to be included: Copyright Bid envelope must include: Contract License #, Expiration date, trade What is a contract that does not provide a change order function? Lump Sum Contract FMLA allows 12 weeks in support of: Adopting a Child Method to minimize employee exposure to Hazardous Materials: Use low VOC materials in the process. Method not used to calculate the cost of a change order: Accrual When must you have 1096 forms filled? February 28th License renewal requires remitting: Workers Compensation insurance coverage You have to purchase items for your project. They cost $35 each. There is a discount of 2% when you purchase 25 to 50 items, 6% discount when you purchase 51 to 100 items. What is the cost of your purchase when you buy 80? $2,718.80 24x$35=$840 26x$34.30=891.80 30x$32.90=$987.00 Two contractors with $500K limits want to form a joint venture to bid on a $1,000,000. Is this legal? Yes it's allowed because one of the purposes of a joint Venture is to pool resources. What is the maximum punishment the Board can issue to a contractor found to be in gross negligence? Revoke the license. (The Board can also impose fines up to $5,000 in TN so the "real world" maximum penalty is to revoke license and fine $5,000)