Michigan Builders Business Law Accounting practice exam with 100% correct answers

Verification Form I-9 must be completed by applicants providing proof of identity and employment eligibility within ______ of employment. 3 days What type of business is the easiest to establish and allows the owner to determine how profits are used although they are personally liable for all debt and assets? Sole Proprietorship A ______is a joint co-owner partnership established to specifically increase bonding and bidding capacities and profits. General Proprietorship Provisions of the Americans with Disabilities (ADA) Law apply to employers having _____ employees. 15 or more What Federal Act requires those working on federal and federally funded construction projects to be paid a minimum prevailing wage for their trade? Davis Bacon Which of the following are fringe benefits that supplement an employee's hourly wage? Paid vacation, sick leave, 401k plan company vehicle To avoid being held liable, the contractor must file a _______ once the lien payment is received. Lien release What is the Michigan Act 230? It creates the Commission and regulates code and inspections in the State. What unit is issued a Certificate of Acceptability and will not be inspected at the site? Manufactured home What is the purpose of the subcontractor completing a Sworn Statement? To get paid by the contractor What is the purpose of a Partial Unconditional Waiver? To prove that partial payment to subs or suppliers has been received. The subcontractor has ______ to file a lien against the property for non-payment from the contractor. 90 days What is the penalty to contractors or subcontractors for intentionally trying to defraud employees or a customer? A fine of no more than $5,000 and/or 3 yrs in prison In accordance with the Michigan Construction Lien Act, the homeowner has _____ to provide signed copies of the Commencement Agreement to the all parties that request it. 10 days The contractor provides a blank Notice of Furnishing to whomever requests the Commencement Agreement. It must be completed and returned to the contractor every ________. 20 days if they are a supplier; 30 days if they are a laborer If a builder is required to be licensed, the penalty for working without a license ____. is a fine no less that $5,000 or greater than $25,000 Upon final order of license suspension or revocation, the licensee has _____ in which to surrender their license to the Department. 10 days Failing to renew one's license before the deadline will result in a _____. $20 late fee How long does the homeowner/business have to file a complaint after the project is completed? 18 months What aids and protects the contractor from accusations of project abandonment without a good legal excuse? The arbitration clause To avoid being fined, the contractor must notify the Department within _____ of relocating their business or changing the business' name. 10 days Definitively, a _______ is a person that constructs, replaces, improves, or demolishes residential or commercial structures for a fixed or lump sum price or fee. Licensed Residential Builder When can a subcontractor work without being licensed? When they are working under a licensed contractor that is not a mechanical contractor An owner/landlord is not permitted to do their own building alterations _______. When the repairs are structural in nature A complaint is _______ when it cannot be resolved at the informal investigative hearing. referred to the Administrative Law Hearing Examiner What body assesses the penalty and issues the "Final Order" to settle the complaint? The Board How long does the Respondent have to appeal the "Final Order" decision? 30 days Who appoints the Director of the Department? The Governor with consent of