CSLB Practice Test Exam Questions and
Answers 100% Solved | Graded A+
The costs of running your business, including office expenses, etc., is
called:
a. Direct Costs
b. Overhead
c. A liability
d. Accrual - ✔✔b. Overhead
Which government agency collects State Unemployment Tax?
a. Employment Development Department
b. County Unemployment Office
c. Franchise Tax Board
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,d. Internal Revenue Service - ✔✔a. Employment Development Department
Who does not need a California Contractor's State License?
a. Someone who repairs or maintains an air-conditioning unit or heat-pump
unit.
b. Someone who installs mobile-homes
c. Someone who digs wells on the property of others
d. Sale or installation of finished products that do not become a fixed part of
the structure - ✔✔d. Sale or installation of finished products that do not
become a fixed part of the structure
Which of the following is not part of a Home-Improvement Contract?
a. Mechanic's Lien Warning
b. Notice of Cancellation
c. Twenty-Day Preliminary Notice
d. All of the above. - ✔✔c. Twenty-Day Preliminary Notice
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, Prime Contractor must pay subcontractor when?
a. 10-days after Prime-contractor received payment
b. When Prime-contractor receives withheld retention monies
c. 30-days after completion
d. As soon as subcontractor completes the work - ✔✔a. 10-days after
Prime-contractor received payment
The Contractor's Surety Bond is necessary for most contractors to obtain
their license. This bond is in the amount of:
a. $2,500
b. $7,000
c. $15,000
d. $25,000 - ✔✔c. $15,000
How long with the CSLB hold a contractor responsible for observable
defects?
3
©NINJANERD 2025/2026. YEAR PUBLISHED 2025.
Answers 100% Solved | Graded A+
The costs of running your business, including office expenses, etc., is
called:
a. Direct Costs
b. Overhead
c. A liability
d. Accrual - ✔✔b. Overhead
Which government agency collects State Unemployment Tax?
a. Employment Development Department
b. County Unemployment Office
c. Franchise Tax Board
1
©NINJANERD 2025/2026. YEAR PUBLISHED 2025.
,d. Internal Revenue Service - ✔✔a. Employment Development Department
Who does not need a California Contractor's State License?
a. Someone who repairs or maintains an air-conditioning unit or heat-pump
unit.
b. Someone who installs mobile-homes
c. Someone who digs wells on the property of others
d. Sale or installation of finished products that do not become a fixed part of
the structure - ✔✔d. Sale or installation of finished products that do not
become a fixed part of the structure
Which of the following is not part of a Home-Improvement Contract?
a. Mechanic's Lien Warning
b. Notice of Cancellation
c. Twenty-Day Preliminary Notice
d. All of the above. - ✔✔c. Twenty-Day Preliminary Notice
2
©NINJANERD 2025/2026. YEAR PUBLISHED 2025.
, Prime Contractor must pay subcontractor when?
a. 10-days after Prime-contractor received payment
b. When Prime-contractor receives withheld retention monies
c. 30-days after completion
d. As soon as subcontractor completes the work - ✔✔a. 10-days after
Prime-contractor received payment
The Contractor's Surety Bond is necessary for most contractors to obtain
their license. This bond is in the amount of:
a. $2,500
b. $7,000
c. $15,000
d. $25,000 - ✔✔c. $15,000
How long with the CSLB hold a contractor responsible for observable
defects?
3
©NINJANERD 2025/2026. YEAR PUBLISHED 2025.
