Home Improvement Contractor Practice Study Guide 2025 Taken by: ProLearn
Test 99% Score
1. In a scenario where an H.I. Contractor fails to ensure compliance with building codes for a
renovation project, what could be the implications for the homeowner?
The homeowner will receive a tax rebate.
The homeowner will be exempt from all building regulations.
The homeowner may face fines and be required to rectify the non-compliance issues.
The homeowner will automatically receive a permit.
2. What must a contractor provide if a consumer requests additional work beyond the original
contract?
An informal estimate
A verbal agreement
A cancellation notice
A written amendment to the contract
3. When must a consumer receive a completed copy of the home improvement contract?
At the time of signing and before any work is done.
After the work is completed.
Only if requested by the consumer.
Within 30 days of signing.
4. Why is it important for a contractor to disclose the fee for an estimate to the consumer?
To limit the consumer's options
To ensure transparency and avoid misunderstandings
To comply with federal regulations
, To increase the contractor's profit margin
5. Why is it important for contractors to honor a notice of cancellation within 10 business days?
It gives contractors more time to complete the work.
It allows contractors to retain deposits.
It protects consumer rights and ensures fair business practices.
It prevents consumers from changing their minds.
6. If a contractor fails to include the required notices in their contract, what potential consequences
might they face?
They may face legal disputes or claims from the homeowner regarding payment and project
completion.
They will automatically lose the job and receive no payment.
They will have to redo the entire project at no cost.
They will be required to pay fines to the city.
7. Why is it important for a home improvement contractor to adhere to the 3-day cancellation period?
It protects consumers by allowing them time to reconsider their decision.
It ensures that permits are obtained in time.
It gives contractors time to gather materials.
It allows contractors to prepare for the job.
8. What must be included in a Home Improvement contract regarding payment?
Contractor's license number
Total cost of the project
Consumer's rights
Schedule of payments
9. What must a contractor or salesperson do regarding the consumer's right to cancel?
, Inform the consumer orally and provide written notice.
Only provide written notice.
Only inform the consumer orally.
Provide notice only if requested.
10. What must all advertising and sales literature for home improvement contractors include?
Contact information only.
DCA Home Improvement Contractor license number.
Company logo and slogan.
A list of previous clients.
11. Explain the conditions under which painting or decoration is not classified as home improvement
work.
Painting or decoration is considered home improvement work only if it involves multiple rooms.
Painting or decoration is not classified as home improvement work when it is a standalone job
not part of other home improvement work.
Painting or decoration is not considered home improvement work if it is done by a licensed
contractor.
Painting or decoration is always considered home improvement work regardless of context.
12. How often can a contractor secure a bond or participate in DCA's Home Improvement Trust Fund?
Every 3 years
Annually
Every 2 years
Every 5 years
13. Explain what is included in the definition of 'home improvement' according to New York City
regulations.
Test 99% Score
1. In a scenario where an H.I. Contractor fails to ensure compliance with building codes for a
renovation project, what could be the implications for the homeowner?
The homeowner will receive a tax rebate.
The homeowner will be exempt from all building regulations.
The homeowner may face fines and be required to rectify the non-compliance issues.
The homeowner will automatically receive a permit.
2. What must a contractor provide if a consumer requests additional work beyond the original
contract?
An informal estimate
A verbal agreement
A cancellation notice
A written amendment to the contract
3. When must a consumer receive a completed copy of the home improvement contract?
At the time of signing and before any work is done.
After the work is completed.
Only if requested by the consumer.
Within 30 days of signing.
4. Why is it important for a contractor to disclose the fee for an estimate to the consumer?
To limit the consumer's options
To ensure transparency and avoid misunderstandings
To comply with federal regulations
, To increase the contractor's profit margin
5. Why is it important for contractors to honor a notice of cancellation within 10 business days?
It gives contractors more time to complete the work.
It allows contractors to retain deposits.
It protects consumer rights and ensures fair business practices.
It prevents consumers from changing their minds.
6. If a contractor fails to include the required notices in their contract, what potential consequences
might they face?
They may face legal disputes or claims from the homeowner regarding payment and project
completion.
They will automatically lose the job and receive no payment.
They will have to redo the entire project at no cost.
They will be required to pay fines to the city.
7. Why is it important for a home improvement contractor to adhere to the 3-day cancellation period?
It protects consumers by allowing them time to reconsider their decision.
It ensures that permits are obtained in time.
It gives contractors time to gather materials.
It allows contractors to prepare for the job.
8. What must be included in a Home Improvement contract regarding payment?
Contractor's license number
Total cost of the project
Consumer's rights
Schedule of payments
9. What must a contractor or salesperson do regarding the consumer's right to cancel?
, Inform the consumer orally and provide written notice.
Only provide written notice.
Only inform the consumer orally.
Provide notice only if requested.
10. What must all advertising and sales literature for home improvement contractors include?
Contact information only.
DCA Home Improvement Contractor license number.
Company logo and slogan.
A list of previous clients.
11. Explain the conditions under which painting or decoration is not classified as home improvement
work.
Painting or decoration is considered home improvement work only if it involves multiple rooms.
Painting or decoration is not classified as home improvement work when it is a standalone job
not part of other home improvement work.
Painting or decoration is not considered home improvement work if it is done by a licensed
contractor.
Painting or decoration is always considered home improvement work regardless of context.
12. How often can a contractor secure a bond or participate in DCA's Home Improvement Trust Fund?
Every 3 years
Annually
Every 2 years
Every 5 years
13. Explain what is included in the definition of 'home improvement' according to New York City
regulations.
