Florida Contractors Manual Exam Questions with Correct and Verified Answers - Latest update

Florida Contractors Manual Exam Questions with Correct and Verified Answers - Latest update A properly registered fictitious name is valid for ________________ A. 1 year B. 2 years C. 3 years D. 5 years - Correct Answer D. 5 years 1-15" "Which of the following would have jurisdiction over dredging or excavation of navigable waters and wetlands? A. U.S. Dept. of the Interior B. Florida Dept. of State C. Florida D Transportation D. U.S Army Corps of Engineers - Correct Answer D. U.S Army Corps of Engineers 1-16" "Three partners, Noah, Evan & Steven form a partnership. Noah invests $30,000; Steven invests $20,000 and Evan invests $15,000. In addition, Noah performs specific management functions for which he is paid $5,000 from the partnership proceeds. If the partnership earns $244,000, how much will Noah receive? A. Less than $70,000 B. Between $70,000 -$90,000 C. Between $90,000-$110,000 D. More than $110,000 - Correct Answer D. More than $110,000 1-12" "The name of the form which is used to apply for sales tax is? A. W2 B. DR-1 C. S1 D. W4 - Correct Answer B. DR-1 1-21" "Which of the following is NOT true about a fictitious name registration? A. Valid for 5 years. B. The fictitious name must be advertised at least one time. C. If a change of ownership occurs, the owner(s) of record must file a cancellation and registration within 45 days of filing, D. Fictitious name registration must be renewed between July 1 and December 31 in the expiration year. - Correct Answer C. If a change of ownership occurs, the owner(s) of record must file a cancellation and registration within 45 days of filing, 1-15" "If the above partnership were dissolved, showing a net loss of $60,000, how much would Noah owe? A. $60,000 B. $4,666 C. $20,000 D. $0.00 - Correct Answer A. $60,000 1-13" "According to the Contractor's Manual, starting capital should be enough to cover living expenses for between which of the following? A. 3 months to a year B. 6 months to a year C. 9 months to a year D. at least a year - Correct Answer A. 3 months to a year 1-17" "A Partnership will be dissolved if which of the following applies? A. UnlawfuI Activity B. Failing to have a primary qualifying agent C. A court decree under the partnership act D. A and C 1-29 - Correct Answer D. A and C 1-29 1-29" "Which of the following is NOT characteristic about a General and Limited Partnership? A. The limited partnership has two types of partners; a partnership only one. B. The general partners of a limited partnership have limited personal liability; the partners of a partnership do not. C. In a limited partnership the limited partners have no management responsibility. D. The general partner has joint and several liability; the limited partner does not - Correct Answer C. In a limited partnership the limited partners have no management responsibility. 1-12" "Which of the following is NOT true about a sole proprietor, a/k/a DBA, operating a business in his own name? A. A business fictitious name filing is necessary. B. A business Tax Identification Number filing is necessary. C. Neither A nor B D. Both A and B - Correct Answer D. Both A and B 1-11" "Which of the following is an advantage of owning a corporation? A. Continuity of existence. B. Lack of centralized control. C. sharing of ideas and management responsibility. D. Easier to create. - Correct Answer A. Continuity of existence. 1-11" "Unlicensed practice of a profession is punishable by an administrative penalty not to exceed _______. A. $500 B. $1,000 C. $5,000 D. $12,500 - Correct Answer C. $5,000 455.228(1)" "Which of the following applies to a qualifying agent of corporation? a. He is only qualified to act for the business during normal working hours b. He is qualified to act for the corporation in all matters connected with its construction business c. He does have authority to supervise in all areas of the company's business d. None of the above - Correct Answer b. He is qualified to act for the corporation in all matters connected with its construction business 489.119" "If a contractor is disciplined by the board and is the qualifying agent for a business organization and the violation was performed in connection with a construction project undertaken by that business organization, the board may impose an additional administrative fine not to exceed___________ against the business organization or against any partner, officer, director, trustee, or member if such person participated in the violation or knew or should have known of the violation and failed to take corrective action. a. $500 b. $1,000 c. $2,500 d. $5,000 - Correct Answer d. $5,000 489.129" "Failure of a licensee to renew before a license expires shall cause the license to become _________. a. delinquent b. inactive c. void d. inactive until payment of a late fee and completion an additional 4 hours of continuing education - Correct Answer a. delinquent 455.271(5)" "The $5.00 fee imposed upon initial licensure and subsequent renewals is used ____________________. a. to cover administrative costs b. to offset inflation and increased salaries c. to combat unlicensed activity d. as a fee to help fund investigative background checks - Correct Answer c. to combat unlicensed activity 455.2281" "According to the AIA documents, if the primary General Contractor defaults and the Owner files an affidavit to take over the project, how much time do the subcontractors and material suppliers have to file liens if the Notice to Owner is filed properly? a. 45 days b. 60 days c. 30 days d. 90 days - Correct Answer d. 90 days 9-27" "Which of the following is NOT TRUE regarding F.S.713? a. Lien rights cannot be waived b. Any supplier or material man providing materials to another material man does not have a lien right c. No lien may be enforced by a lien or who is not properly licensed at the time of the lien d. An in privity contractor must file a notice to owner within 45 days of first starting the work - Correct Answer d. An in privity contractor must file a notice to owner within 45 days of first starting the work 9-21" "If a construction job is worth more than $2,500, and there is a construction loan covering the work, which is responsible for posting a copy of the notice of commencement at the job site? a. The contractor b. The lending institution c. The owner (CM 9-11) d. A or C - Correct Answer c. The owner (CM 9-11) 9-11" "After signing an AIA 401 contract, a subcontractor who was not in privity began working on a project. The official start date of the subcontractor's work was February 20, 2006. The notice of commencement was filed on January 2, 2006. If the subcontractor is forced to file a lien in accordance withF.S. 713, how many days after filing the lien does he have to notify the owner of his action? a. 3 b. 15 c. 45 d. 90 - Correct Answer b. 15 9-29" "What type of bond is not defined by any statutes? a. Performance Statutory bonds b. Common Law bonds c. Bonds d. Liability bonds - Correct Answer b. Common Law bonds 9-49" "An active certified residential contractor is eligible to take the general contactors' examination if he possesses a minimum of years of proven experience in the classification in which he is certified. a. 1 b. 2 c. 3 d. 4 - Correct Answer d. 4 489.111" "If an incomplete contract exists at the time of death of a contractor, the contract may be completed by any person, though not certified or registered, with the board's approval. That person must notify the board within ____ days after the death of the contractor, of his/her name and address. a. 15 days b. 30 days c. 45 days d. 60 days - Correct Answer b. 30 days 489.121" "An active certified air-conditioning Class B contractor is eligible to take the air-conditioning Class A contactors' examination if he possesses a minimum of years of proven experience in the classification in which he is certified. a. 1 b. 2 c. 3 d. 4 - Correct Answer a. 1 489.111(2)(c)5.c" "Your contractor's license number must appear in or on all the following advertisements except________. a. free yellow Page listings b. coupons c. business proposals d. business cards - Correct Answer a. free yellow Page listings 489.119 (5)(a)(b)(c)" "According to the Florida Statues, Chapter 489, a contractor was found guilty of allowing their certificate to be used by uncertified persons with intent to evade the provisions of Chapter 489.The Construction Industry Licensing Board may revoke the certificate of the contractor, require financial restitution to a consumer, and impose an administrative maximum fine of _____________. a. $5,000 b. $5,000 or assess costs associated with investigation and prosecution c. $10,000 d. $10,000 or assess costs associated with investigation and prosecution - Correct Answer d. $10,000 or assess costs associated with investigation and prosecution 489.129(1)" "What is the maximum damages in which as consumer (non-employee) is entitled due to the negligence of a non-licensed contractor: a. 2 times damages b. 2 times damages + legal fees c. 3 times damages d. 3 times damages + legal fees - Correct Answer b. 2 times damages + legal fees 2-14" "A Contractor wants to borrow 50,000 for 1 year and the Bank will provide the funding as a Discounted Loan at 2%. What is the amount the Contract receives at loan closing? 12. A $50,000, discount due when paid 13. B $48,000, discounted immediately 14 C $52,000, full amount due at maturity 15. D $50,000, contract pays for $2,000 at closing - Correct Answer B $48,000, discounted immediately 14 3-74" "Under the completed contract method, the contractor may realize the profit: a. When the bid is accepted by the owner b. When the contract is 50% complete c. When the project is nearly complete d. When the owner signs off on the final release - Correct Answer c. When the project is nearly complete 3-80" "Records of employment taxes should be kept for IRS review for at least . a. 4 years b. 3 years c. 7 years d. They do not need to be kept - Correct Answer a. 4 years 2012 -Circular E-Page 4" "Which of the following is the type of contract which provides payments to the contractor on the basis of direct labor hours at fixed hourly rates and which may include the cost of materials or other specified costs? A. Unit price B. Cost plus C. Time and material D. Fixed price - Correct Answer C. Time and material Pg. 3-79" "According to the Contractor's Manual in the completed contracts method of accounting, a contract should be considered complete, if it has reached what percentage or more? A. 100% B. 98% C. 97% D. 95% - Correct Answer B. 98% Pg. 3-80" "According to the Circular E, which of the following is the form used to claim credit for over payments? A. 940 B. 941 C. 944 D. B or C - Correct Answer D. B or C Circular E, Pg. 26" "What is the filing deadline for a payroll tax return for the 2nd quarter for an employer who has deposited all taxes on time? A. July 1st B. July 31st C. August 1st D. August 10th - Correct Answer D. August 10th Circular-E Pg. 7" "What is the FUTA tax rate for a Florida Company claiming full credit for the Florida Unemployment Compensation Tax? a. 8% b. 08 c. 6% d. 08% - Correct Answer c. 6% 2012 Circular E-29" "Which of the following is NOT a correct expression of the relationship between owner's equity, totalassets, and total liabilities? A Assets = Liabilities + Net Worth B. Net Worth= Assets -Liabilities C. Owner's Equity + Liabilities = Assets D. Liabilities -Net Worth = Assets - Correct Answer C. Owner's Equity + Liabilities = Assets" "What is the "look back" period for determining the deposit schedule for taxes? A Last 1 quarter B. Last 2 quarters C. Last 3 quarters D. Last 4 quarters - Correct Answer " "Which of the following insurance policies would protect a company against employee embezzlement? a. Blanket crime policy b. Fidelity bond c. Comprehensive theft d. Comprehensive liability - Correct Answer b. Fidelity bond 4-8" "What type of extended insurance can be purchased with the Builder's risk? A Materials in transit or at temporary storage facility B Subcontractors on a job site C Materials while in transit D Employees of subcontractor - Correct Answer A Materials in transit or at temporary storage facility 4-7" "A normally purchased Builder's Risk policy covers all but which of the following? A. Materials B. Fire and Storm C. Deeds and notes D. Tools and materials - Correct Answer B. Fire and Storm 4-13" "A Contractor has been paid $71,837.00 on a $1,400,325.00 contract total cost. Assuming a 10% retainage, what is the percentage of completion of this project? A. 0.57% B. 5.7% C. 0.51% D. 5.1% - Correct Answer B 5.7% Gross Pay= $71,837/.90 = $79,812.00 % of Completion -$79,812/$1,400,325 = 5.70%" "Which of the following is NOT an example of an exculpatory clause? A. The owner is to indemnify the contractor. B. The contractor is to hold the owner harmless. C. The contractor must come to the defense of the owner. D. The owner must not interfere with the contractor's schedule - Correct Answer D. The owner must not interfere with the contractor's schedule 4-9" "Which of the following financial statements would most likely be necessary if you were certifying the financial condition of your company for 3rd party investors? A. Cash B. Reviewed C. Compiled D. Audited - Correct Answer D. Audited 4-16" "What is the maximum bond amount for a SBA guaranty program? A. $2,000,000 B. $1,500,000 C. $1,250,000 D. $1,000,000 - Correct Answer A. $2,000,000 4-18" "Under a performance bond on a subcontract, any suit must be instituted within _____ year(s) of the date of substantial completion. A. 1 B. 2 C. 3 D. 4 - Correct Answer B. 2 4-36" "You have purchased $120,000 worth of builder's risk (property) insurance on a building worth $200,000 with an 80% co-insurance clause. A fire loss causes $20,000. Disregarding any deductible, what amount will the insurance company pay? A. $20,000 B. $15,000 C. $12,000 D. $19,000 - Correct Answer B. $15,000 4-16 $15,000 -Percentage Insured= $120,000/200,000 = 60.00% Payment -60/80 x $20,000 = $15,000.00" "Your company is assessing its bonding capacity. You have $100,000 Cash in the bank, $32,000 in Accounts Receivable and $450,000 in Accrued Earned Income Receivable. Your bookkeeper states you also have $450,000 in Current Liabilities. What would be your likely maximum bond limit? A $1,000,000 B. $320,000 C. $1,320,000 D. $5,820,000 - Correct Answer C. $1,320,000 4-17 $1,320,000 (Net quick times 10)-($100,000 + $32,000) X 10" "A laborer begins employment with your company in September of 1990. He quits in July of 1991. The I-9 form must be retained as a record until which of the following dates? A. September 1991 B. September 1992 C. September 1993 D. September 1994 - Correct Answer C. September 1993 5-58" "Failure to file timely Florida Unemployment Compensation Reports will result in a penalty charge of_ _ per month or fraction of month that the report is delinquent. A $25 B. $50 C. $75 D. $100 - Correct Answer A $25 5-271" "According to the American's with Disabilities Act, pre-employment medical examinations are: A. mandatory B. Unlimited. C. Required. D. Prohibited - Correct Answer A. mandatory 5-42" "According to the Federal Rehabilitation Act of 1973, an aggrieved party must file a complaint of disability discrimination with the Office of Federal Contract Compliance Programs within _____days of the alleged discriminatory act. A. 7 B. 300 C. 90 D. 30 - Correct Answer B. 300 5-40" "A non-exempt hourly employee works 50 hours in a week and is given a non-discretionary bonus of$100.His regular hourly rate is $10.00 . What is his calculated regular rate for the week? A. $7.50 B. $9.50 C. $10.00 D. $12.00 - Correct Answer D. $12.00 5-21 [(50 x $10) +100] / 50 = $12.00 CM (5-21)" "Which of the following IS required to be included in the regular rate of pay when calculating overtime in accordance with the Fair Labor Standards Act? A. A bonus that is defined as a discretionary bonus. B. A Christmas bonus given on a regular basis. C. A bonus that is paid as part of an employment agreement. D. A gift bonus. - Correct Answer C. A bonus that is paid as part of an employment agreement. 5-26" "What is the maximum amount that can be garnished from an employee's wages according to the Consumer Credit Protection Act? A. 25% of weekly disposable earnings B. The amount by which weekly disposable earnings exceed thirty times the minimum wage C. The greater of A or B D. The lesser of A or B - Correct Answer D. The lesser of A or B 5-46" "Which of the following is NOT true about a 16 year old working in Florida? A. Such a minor may NOT work in a field office. B. Such a minor may NOT work on scaffolding. C. Such a minor may NOT work more than 6 consecutive days in one school week. D. Such a minor may NOT work after 11 :00 pm on a school night. - Correct Answer A. Such a minor may NOT work in a field office. 5-31" "A charge of age discrimination must be brought to the EEOC no later than: A. 300 days after the alleged discrimination B. 30 days after termination of the state administrative proceeding C. The LATER of A or B D. The EARLIER of A or B - Correct Answer D. The EARLIER of A or B 5-37" "A contractor who knowingly makes false statements and does not comply with The Florida Worker's Compensation Law, may, upon conviction, be punished by a fine of not more than_____or by imprisonment for not more than ________. A. $500.00 -1 year B. $1,000.00 -1 year C. $1,000.00 -3 years D. $5,000.00 -5 years - Correct Answer A. $500.00 -1 year 5-54" "If you, as a contractor, sublet any part of your contract work to a sub-contractor who is not covered by Workers' Compensation and one of his employees is injured on the job __________________. A. The sub-contractor must pay from his personal funds. B. You are liable for 1/3 the required compensation. C. You are liable for payment of compensation to that employee. D. The employee can receive no compensation. - Correct Answer C. You are liable for payment of compensation to that employee. 440.10 (1)(b)" "An installment of Workers' Compensation payable without an award is due on July 1st, but payment is delayed until July 10th. An additional _________should be added to the payment. a. 12%, $5.00 min. b. 20% c. 10% d. A and B - Correct Answer d. A and B 440.20" "An employee refuses to observe safety rules and use safety equipment His Workers' Compensation _________. a. Will not be affected b. Will be reduced 25% c. Will be reduced 50% d. Will not be paid, because he contributes to an accident - Correct Answer b. Will be reduced 25% 440.09" "In case of temporary partial disability, compensation shall be equal to 80 percent of the difference between _____________of the employee's average weekly wage and the pay the employee is able to earn. a. 90 percent b. 80 percent c. 20 percent d. 50 percent - Correct Answer b. 80 percent 440.15" "An employer who has secured compensation under the provisions of this chapter shall ___________. a. Keep posted in a conspicuous place printed notices stating that the employer has secured the payment of compensation. b. Deliver a typed or printed certificate of insurance to each employee. c. Maintain proof of compensation insurance in an insurance compensation file. d. Does not need to provide any of the above - Correct Answer a. Keep posted in a conspicuous place printed notices stating that the employer has secured the payment of compensation. 440.40" "No compensation shall be payable if an injury was caused primarily by___________________. a. Intoxication of the employee. b. The employee being under the influence of a narcotic. c. By the willful intention of the employee to the injure or kill himself d. All of the above. - Correct Answer d. All of the above. 440.09" "Except as provided in section 440.12 (1) and 440.14 (3), a total but temporary disability payment shall not be made longer than ____________weeks. a. 14 b. 250 c. 104 d. 500 - Correct Answer c. 104 440.15" "Which of the following is a true statement concerning Workers Compensation coverage? a. Employees can agree to pay a portion of the Workers Compensation premiums, if agreed to in writing. b. An employer will be obligated to rehire an employee, if the employer has 40 employees. c. Employers who understate payroll to the carrier can be penalized 15% plus the additional premium. d. An employer who fails to provide the required Workers Compensation may be fined 1.5 times the amount that should have been paid or $1,000, whichever is greater. - Correct Answer d. An employer who fails to provide the required Workers Compensation may be fined 1.5 times the amount that should have been paid or $1,000, whichever is greater. 440.105" "An employee earns $6.00 per hour working a 40 hour week and has an average weekly wage determined to be $210.00. If the employee was injured on the job and could not work for four weeks, the total workers compensation benefit for the four week period would be approximately____________. a. $640.00 b. $560.00 c. $480.00 d. $160.00 - Correct Answer b. $560.00 440.15 Weekly benefit = $210 x 66.66% = $140 x 4 wks = $560." "According to "The Florida Worker's Compensation Law," a determination of benefits will be based on a calculation involving the last __________ weeks of employment. A. 3 weeks B. 10 weeks C. 13 weeks D. 52 weeks - Correct Answer C. 13 weeks 440.14" "Which grade of manila rope is of the highest quality? a. Number 1 Grade b. Number 1 Grade c. Number 1 Grade d. Yacht - Correct Answer d. Yacht 7-50" "All of the following must follow the OSHA standards except: a. religious establishments b. general contractor with one employee c. landscape contractors D equipment rental businesses - Correct Answer a. religious establishments 7-7" "What is the safe working load of 3/8" nylon rope? a. 360 lbs. b. 410 lbs. c. 490 lbs. d. 540 lbs. - Correct Answer d. 540 lbs. 7-56 Contractors Manual Square the numerator and multiply by 60. 3 x 3 = 9. 9 x 60 = 540 lbs. Note that '60' above, is the multiplier for Nylon, per chart on pg." "Manilla rope is twisted in a ________ direction a. right hand b. left hand c. patterned d. torqued - Correct Answer a. right hand 7-50" "OSHA regulations require that injury and illness records be retained in each establishment for ___________ calendar year(s) following the end of the year to which they relate. a. 1 b. 3 c. 5 d. 7 - Correct Answer D - 7 7-16" "An employer with 40 employees is cited by OSHA for a high severity, greater probability violation. The employer has had one other citation in the last 3 years. Using ONLY the information given, what would be the proposed penalty for this violation? a. $5,000 b. $8,730 c. $10,907 d. $11,224 - Correct Answer B $8,730 7-32 (high severity, greater probability = base penalty of $12,471) (adjustment factor = -30% for 26 to 100 workers) Note: there is no 10% reduction for good past history because there was one other violation in the last 3 years Solution: $12,471 x .70 (100% -30%) = $8,730 proposed penalty" "What does OSHA stand for? A. Outdoors Safety and Hygiene Administration B. Occupational Safety and Health Association C. Occupational Safety and Health Act D. Occupational Services for the Handicapped Act - Correct Answer C. Occupational Safety and Health Act 7-3" "According to the CM and OSHA, you must report the accidents resulting in more than 3 serious injuries within ___________ after learning of the incident. A. 24 hours B. 72 hours C. 8hours D. No more than 5 days - Correct Answer C. 8hours 7-28" "According to the CM and OSHA, OSHA records for employees who report to a fixed location but work elsewhere should be kept at__________. A. Main office of the company B. Office where they are paid C. At the place where the employees report every day D. None of the above - Correct Answer C. At the place where the employees report every day 7-15" "Which of the following injuries is not categorized as first aid case not recordable? A Non prescriptive medication B. Hot or cold therapy C. Drilling of a finger nail or toenail to relieve pressure D. Injuries that involve complications requiring follow up treatment - Correct Answer D. Injuries that involve complications requiring follow up treatment 7-24" "When does common law indemnity apply? a. When the benefit party is guilty b. When the benefit party is not guilty c. When the benefit party nolo contendere d. When the benefit party is absent - Correct Answer b. When the benefit party is not guilty 8-15" "As volume and cash profits increase, which of the following should be kept under control? A. Direct cost B. Margin of profit C. Fixed overhead D. Selling expenses - Correct Answer D. Selling expenses 8-91" "Your company signed a contract on June1, 2016, which established a project completion time of eight months with a liquidated damages provision in the amount of $100 per day for each and every day over the eight month deadline. Due to an oversight, the owner failed to file a Notice of Commencement until August1, 2016. What is the effective first day that penalties will accrue to the project? A. March 2, 2016 B. March 1, 2016 C. March 2, 2017 D. April 2, 2017 - Correct Answer C. March 2, 2017 8 months after Feb 1, 2017 plus one day" "Your company was involved with a dispute with an owner over a contract to construct a 14,000 sq. ouse valued at $1,437,000. The original contract was signed February 4, 1999, and was brought to substantial completion on November 15, 1999. The dispute centers on a change order which was approved by owner and architect on October 21, 1999, but which the owner has refused to pay. Assuming the facts as stated and no additional information is provided, should your company prevail, it should be entitled to: A. The original contract price and the value of the change order plus special damages, if any. B. The original contract price and the value of the change order plus liquidated damages only. C. The original contract price and the value of the change order plus loss of profits only. D. The original contract price and the value of the change order only. - Correct Answer A. The original contract price and the value of the change order plus special damages, if any. 8-13" "In order for a contractor to be assured he has the right to inspect and cure an alleged defect in construction, the contract must contain which of the following clauses in BOLD FACED TYPE? A. Ch. 489 Notice of Claim B. Ch. 455 Notice of Claim C. Ch. 558 Notice of Claim D. Ch. 713 Notice of Claim - Correct Answer C. Ch. 558 Notice of Claim 8-17" "According to the Florida Contractors Manual, Which of the following are not one of the three essential items of a construction contract? A. what is to be performed or built B. when it will be built C. how much and when payment will be made D. name of consumer - Correct Answer D. name of consumer 8-6" "Which of the following contracts puts the contractor at the biggest risk A. Cost plus B. ConstructionManagement C. Fixed price D. Design/Build - Correct Answer C. Fixed price 8-7" "Which of the following is true about punitive damages. A. Punitive damages not costly to litigate B. Punitive damages are not in accordance with FS 455 C. Punitive damages are not recoverable for a breach of contract D. Both B & C - Correct Answer C. Punitive damages are not recoverable for a breach of contract 8-25" "The statutes of limitations of a construction contract are _________ years. A. 2 B. 3 C. 4 D. 5 - Correct Answer D. 5 8-23" "A not in Privity subcontractor filed a notice to owner on February 2nd, on a job that he had begun on February 1st. If this subcontractor files a lien on April 3rd, how many days would he have to enforce the lien once the court clerk had certified and served a contest of lien? a. 30 b. 45 c. 60 d. 365 - Correct Answer c. 60 9-30" "Which of the following is not an implied term? A. Payment will be made at the conclusion of the work B. Lien rights may be waived in advance of performing the work C. The contractor must furnish a contractor's final affidavit addressing payment to subcontractors and suppliers before being entitled to final payment. D. No party will interfere with or hinder the performance of any other party, but will cooperate in good faith - Correct Answer B. Lien rights may be waived in advance of performing the work 8-9" "Which document is filed as part of the permit process that lists the owner contact information and establishes the legal parameters for subcontractor claims against the project? A. Notice to Owner B. Application for Permit C. Bond D. Notice of Commencement - Correct Answer D. Notice of Commencement 9-11" "Which of the following is one way an owner can minimize the risk of having a lien filed on his or her property by non-privity entities? a. Have the contractor submit an affidavit that all persons are paid b. Stay active on the project and talk to the subcontractors c. Have the contractor obtain a performance bond d. Have the contractor obtain a payment bond - Correct Answer d. Have the contractor obtain a payment bond (6)" "Which of the following is NOT true with respect to the Lien Law (F.S. 713)? a. A not in privity contractor must file a notice to owner within 45 days of furnishing materials to establish a lien right b. A notice of commencement must be filed if the work is valued at over $3,500 c. A lien is good for 1 year d. A contest of lien shrinks the lien time from 1 year to 60 days - Correct Answer b. A notice of commencement must be filed if the work is valued at over $3,500 9-92"