CSLB B LICENSE GENERAL CONTRACTOR
PRACTICE EXAM Practice Questions with
Correct Answers & Detailed Rationales
Core Domains Covered
• Business Organization & Licensing – CSLB structure, license
classifications, qualifying individuals, license issuance, renewal, and
expiration
• Contract Law & Administration – Contract requirements, change orders,
home improvement contracts, three-day right of rescission, arbitration
• Lien Law & Financial Security – Mechanic's liens, 20-day preliminary
notices, stop notices, payment bonds, contractor bonds
• Employment & Labor Law – Workers' compensation, prevailing wage,
payroll, employee classification, OSHA/Cal-OSHA safety requirements
• Project Management & Estimating – Scheduling (CPM), estimating,
bidding, project documentation, material takeoffs
• Building Codes & Standards – California Building Code (CBC),
CALGreen, structural requirements, fire codes, accessibility
• Construction Materials & Methods – Concrete, steel, wood framing,
roofing, finishes, soil mechanics, excavation
• Safety & Risk Management – Excavation safety, fall protection, trenching,
personal protective equipment, hazard communication
SECTION 1: LAW AND BUSINESS EXAM (Questions 1–60)
1. What is the primary purpose of the California Contractors State License
Board (CSLB)?
A. To collect sales taxes from contractors
B. To protect the public by licensing and regulating contractors
,C. To set minimum wage rates for construction workers
D. To provide insurance for construction projects
Rationale: The CSLB's primary purpose is to protect the public by licensing and
regulating contractors in California. This includes enforcing licensing laws and
ensuring contractors meet minimum standards of competency and financial
responsibility.
2. How long is a California contractor license valid?
A. 1 year
B. 2 years
C. 3 years
D. 5 years
Rationale: A contractor license is valid for 2 years and expires 2 years from the
last day of the month in which it was issued. The renewal fee is $200.
3. What is the required amount for the contractor bond that must be on file
with the CSLB?
A. $10,000
B. $12,500
**C. $15,000**
D. $25,000
Rationale: Licensees must maintain a current contractor bond of $15,000 on file
with the CSLB, unless inactive. This bond is for the benefit of consumers who may
be harmed by defective construction or other license law violations, and for
employees who have not been paid wages.
4. A subcontractor or material supplier has how many days to file a lien once
a notice of completion has been recorded?
A. 15 days
B. 30 days
,C. 60 days
D. 90 days
Rationale: A subcontractor or material supplier has 30 days from the recording of
a notice of completion to file a mechanic's lien.
5. If a contractor forgets to renew their license on time, the expired license
may be renewed within what time period after expiration without reapplying?
A. 1 year
B. 3 years
C. 5 years
D. 10 years
Rationale: An expired license may be renewed any time within 5 years after its
expiration without reapplying for a license and fulfilling the exam or waiver
requirements again.
6. What is the "20-Day Preliminary Notice" used for?
A. To file a lien against the property
B. To preserve the right to record a lien for subcontractors or suppliers
C. To notify the owner of project delays
D. To request final payment
Rationale: The "20-Day Preliminary Notice" is not a lien itself. It is ONLY for
subcontractors or suppliers and must be provided to preserve the right to record a
lien on the property if they are not paid. It can be sent up to 20 days after the
subcontractor starts work or the supplier provides material.
7. A contractor meets a homeowner to discuss remodeling. They sign a
contract that includes a three-day cancellation form. The homeowner decides
not to have the work done and sends a letter by first-class mail canceling
instead of using the cancellation form. Is this cancellation effective?
A. No, because he did not use the cancellation form
B. Yes, the letter cancels the contract because it indicates his intention not to
, be bound
C. Only if sent by certified mail
D. No, because the three-day period had not passed
Rationale: The homeowner's letter does cancel the contract because it indicates his
intention not to be bound by the contract. The cancellation does not have to be on
the specific form provided.
8. When a subcontractor does work on a public works contract, the public
agency considers the subcontractor to be:
A. A prime contractor
B. An independent contractor
C. A subcontractor of the prime contractor
D. A direct contractor with the agency
Rationale: On a public works contract, the public agency considers the
subcontractor to be a subcontractor of the prime contractor. The prime contractor is
responsible for the subcontractor's work.
9. Who is responsible for supplying safety goggles when a contractor hires a
subcontractor to demolish a concrete wall?
A. The general contractor
B. The subcontractor
C. The property owner
D. The insurance company
Rationale: The subcontractor is responsible for supplying safety equipment,
including safety goggles, for their own employees.
10. A General Building Contractor license in California is designated as:
A. C-10
B. B
C. A
D. C-36
PRACTICE EXAM Practice Questions with
Correct Answers & Detailed Rationales
Core Domains Covered
• Business Organization & Licensing – CSLB structure, license
classifications, qualifying individuals, license issuance, renewal, and
expiration
• Contract Law & Administration – Contract requirements, change orders,
home improvement contracts, three-day right of rescission, arbitration
• Lien Law & Financial Security – Mechanic's liens, 20-day preliminary
notices, stop notices, payment bonds, contractor bonds
• Employment & Labor Law – Workers' compensation, prevailing wage,
payroll, employee classification, OSHA/Cal-OSHA safety requirements
• Project Management & Estimating – Scheduling (CPM), estimating,
bidding, project documentation, material takeoffs
• Building Codes & Standards – California Building Code (CBC),
CALGreen, structural requirements, fire codes, accessibility
• Construction Materials & Methods – Concrete, steel, wood framing,
roofing, finishes, soil mechanics, excavation
• Safety & Risk Management – Excavation safety, fall protection, trenching,
personal protective equipment, hazard communication
SECTION 1: LAW AND BUSINESS EXAM (Questions 1–60)
1. What is the primary purpose of the California Contractors State License
Board (CSLB)?
A. To collect sales taxes from contractors
B. To protect the public by licensing and regulating contractors
,C. To set minimum wage rates for construction workers
D. To provide insurance for construction projects
Rationale: The CSLB's primary purpose is to protect the public by licensing and
regulating contractors in California. This includes enforcing licensing laws and
ensuring contractors meet minimum standards of competency and financial
responsibility.
2. How long is a California contractor license valid?
A. 1 year
B. 2 years
C. 3 years
D. 5 years
Rationale: A contractor license is valid for 2 years and expires 2 years from the
last day of the month in which it was issued. The renewal fee is $200.
3. What is the required amount for the contractor bond that must be on file
with the CSLB?
A. $10,000
B. $12,500
**C. $15,000**
D. $25,000
Rationale: Licensees must maintain a current contractor bond of $15,000 on file
with the CSLB, unless inactive. This bond is for the benefit of consumers who may
be harmed by defective construction or other license law violations, and for
employees who have not been paid wages.
4. A subcontractor or material supplier has how many days to file a lien once
a notice of completion has been recorded?
A. 15 days
B. 30 days
,C. 60 days
D. 90 days
Rationale: A subcontractor or material supplier has 30 days from the recording of
a notice of completion to file a mechanic's lien.
5. If a contractor forgets to renew their license on time, the expired license
may be renewed within what time period after expiration without reapplying?
A. 1 year
B. 3 years
C. 5 years
D. 10 years
Rationale: An expired license may be renewed any time within 5 years after its
expiration without reapplying for a license and fulfilling the exam or waiver
requirements again.
6. What is the "20-Day Preliminary Notice" used for?
A. To file a lien against the property
B. To preserve the right to record a lien for subcontractors or suppliers
C. To notify the owner of project delays
D. To request final payment
Rationale: The "20-Day Preliminary Notice" is not a lien itself. It is ONLY for
subcontractors or suppliers and must be provided to preserve the right to record a
lien on the property if they are not paid. It can be sent up to 20 days after the
subcontractor starts work or the supplier provides material.
7. A contractor meets a homeowner to discuss remodeling. They sign a
contract that includes a three-day cancellation form. The homeowner decides
not to have the work done and sends a letter by first-class mail canceling
instead of using the cancellation form. Is this cancellation effective?
A. No, because he did not use the cancellation form
B. Yes, the letter cancels the contract because it indicates his intention not to
, be bound
C. Only if sent by certified mail
D. No, because the three-day period had not passed
Rationale: The homeowner's letter does cancel the contract because it indicates his
intention not to be bound by the contract. The cancellation does not have to be on
the specific form provided.
8. When a subcontractor does work on a public works contract, the public
agency considers the subcontractor to be:
A. A prime contractor
B. An independent contractor
C. A subcontractor of the prime contractor
D. A direct contractor with the agency
Rationale: On a public works contract, the public agency considers the
subcontractor to be a subcontractor of the prime contractor. The prime contractor is
responsible for the subcontractor's work.
9. Who is responsible for supplying safety goggles when a contractor hires a
subcontractor to demolish a concrete wall?
A. The general contractor
B. The subcontractor
C. The property owner
D. The insurance company
Rationale: The subcontractor is responsible for supplying safety equipment,
including safety goggles, for their own employees.
10. A General Building Contractor license in California is designated as:
A. C-10
B. B
C. A
D. C-36