Course NASLCA Virginia

What is the MAXIMUM penalty for a contractor who undertakes work without the proper class of license? - ANS $500 fine per day for each day of violation plus penalties for a misdemeanor. All Class A contractor licensure applications MUST include - ANS information on the knowledge, skills, and abilities of the applicant. What is the PRIMARY purpose of licensing? - ANS Protect the health and welfare of the public. When a claimant is paid funds from the Contractors Recovery Trust Fund - ANS the contractor's license is revoked. !!! The application for licensure MUST include - ANS the business address of the proposed designated employee. Which of the following is a requirement for a joint venture? - ANS Either the joint venture or each contracting party of the joint venture must be licensed. All of the following must be licensed EXCEPT - ANS a material supplier who advises a contractor. How much is the Class A initial license fee? - ANS $200 A licensee's name change MUST be reported to the Board within a MAXIMUM of how many days? - ANS 30 days According to the Board Rules and Regulations, a full-time employee is one who works a MINIMUM of how many hours per week? - ANS 30 hours. A firm desiring to be licensed as a Class B contractor MUST have a MINIMUM net worth of - ANS $15,000. According to the Board Rules and Regulations, which of the following could be a qualified individual? - ANS Any full-time employee. An appeal of the local building official's decision to refuse to grant a modification to the USBC MUST be made to the local building board within a MAXIMUM of how many days? - ANS 90 days. A building official MUST issue a certificate of occupancy for a building that meets all the requirements for a certificate within a MAXIMUM of how many working days after the certificate was requested? - ANS 5 Additions to buildings MUST comply with - ANS the current code for new construction. When MUST the work be stopped following the issuance of a stop work order? - ANS Immediately Who is to be in charge of a local building department? - ANS Building official. Contractors who are assessed a fee to support the Transaction Recovery Fund MUST pay this fee within a MINIMUM of how many days from when the assessment fee notice was mailed? - ANS 45 days Contractors will be assessed a fee for the Transaction Recovery Fund whenever the fund balance is less than - ANS $400,000. Payments made by the Transaction Recovery Fund to claimants may include an amount for - ANS attorneys' fees. A contract for which of the following types of structures may be subject to recovery from the Transaction Recovery Fund? - ANS Residential only. A verified claim for payment from the Transaction Recovery Fund MUST occur within a MAXIMUM of what period of time from the date the claimant was awarded a final judgment? - ANS 12 months. An appeal of a final decision of a county on an erosion control plan MUST be filed within a MAXIMUM of how many days? - ANS 30 days. Temporary erosion and sediment control measures MUST be removed within a MAXIMUM of how many days after the final site stabilization? - ANS 30 days. Which of the following statements about a sole proprietorship is TRUE? - ANS The business, or any part of it, can be sold, altered, or exchanged at will. What type of business organization allows people to share financial resources? - ANS Partnership. Which of the following estimating methods is typically used by the architect rather than the contractor? - ANS Conceptual estimate. Equipment needs for a project are BEST estimated by - ANS calculating the number of hours or days it is needed. What should be added to wage rates to ensure accuracy in estimating labor for a project? - ANS Labor burden. A reason for using a lower than usual profit markup for a specific project could be to - ANS cover company overhead costs. Which of the following is a TRUE statement about estimating? - ANS Both overestimating and underestimating costs could have disastrous consequences. A contractor should do all of the following when estimating a project EXCEPT - ANS assume ideal conditions What MUST be included in an estimate for a job? - ANS Materials, labor, equipment, and overhead costs. Costs that relate to construction activity but are NOT easily identifiable for a specific project are considered - ANS project overhead. All of the following are considered general conditions that could affect costs directly associated with a specific project EXCEPT - ANS profit margin The two basic laws of construction estimating are - ANS low estimates decrease profits and high estimates decrease volume. An agreement that calls for a contractor to be paid actual costs for labor and materials plus a fixed fee for the contractor's overhead and profit is called a - ANS cost plus contract. Generally, who is responsible for ensuring that a project meets all zoning requirements? - ANS Project owner. A bid that does NOT specifiy how long it remains open or in effect is considered to be open for - ANS a reasonable amount of time. A contractor is about to sign an agreement with a representative of a corporation. The contractor should - ANS verify that the representative has the authority to bind the corporation. What may be covered by an allowance in a contract? - ANS Light fixture costs The prime contractor is one who - ANS is responsible for the overall construction of the project. A contractor plans to use materials or methods other than those standard in the industry. The contractor should - ANS specifically state this in the agreement. An owner hires a construction manager for a project. Which of the following is TRUE with regard to subcontractors? - ANS The subcontractors are prime contractors. The three PRIMARY elements of a contract are - ANS offer, acceptance, and consideration. A contract refers to an insurance agreement that the contractor is REQUIRED to have. This is considered - ANS part of the contract. What can be determined by summing the project activities into an overall schedule? - ANS The total resource demand for a project at any given time. The PRIMARY difference between a project manager and a project superintendent is that the project manager - ANS does not directly supervise day-to-day field activities. The BEST business practice for special-ordered materials is to - ANS put the order requirements in writing. An important factor in ensuring that a schedule is followed is to - ANS make sure the superintendent agrees with it Which of the following is considered ethical behavior? - ANS Failing to disclose one subcontractor's bid to another. All of the following are advantages of good scheduling EXCEPT - ANS reduced training costs. What can be used to collect information on labor, materials, equipment, and overhead costs used during the performance of a job? - ANS A job cost system. What protects a contractor from risk? - ANS Insurance What type of insurance is needed for a partnership to insure that the business does NOT go out of business if one partner dies? - ANS Key man What does a comprehensive general liability insurance policy protect a company against? - ANS An accident at the job site that damages the neighbor's house. AT LEAST how often should employees watch for possible hazards at the jobsite? - ANS Constantly Medical records of work-related injuries to long-term employees MUST be kept for a MINIMUM of what duration after the employee leaves employment? - ANS 30 years. Records of an employee's exposure to hazardous materials MUST be kept a MINIMUM of how many years? - ANS 30 years. What type of material at a construction site may be considered hazardous waste? - ANS Cleaning supplies. Approximately how many materials are currently on the EPA hazardous materials list? - ANS 500 At LEAST how often MUST an employer report information on the number of employees and the number of new hires in order to meet the requirements of the Child Support Enforcement Act? - ANS Every 2 months Time card records MUST be kept a MINIMUM of - ANS 4 years Who MUST follow the Fair Labor Standards Act? - ANS All employers with at least 1 employee. Which of the following is considered a source document in an accounting system? - ANS Time cards. A company's net worth is equal to - ANS owner's equity. Where does the information for a company's financial statement come from? - ANS Summary of accounts in the general ledger. What is included in a company's balance sheet? - ANS Assets, liabilities, and owner's equity. Losses from the sale of a company asset are considered - ANS other expenses. Compensation paid to independent contractors is reported on Form - ANS 1099 What MUST be done with the taxes withheld by an employer between the time that they are withheld and the time that they are sent to the IRS? - ANS The taxes must be held in a separate account and not used for anything else