CA Contractor's Law and Business Test 4
Exam Questions with Answers
Why would there be a difference between the actual inventory and the
inventory shown on paper?
Click here to select answer A.
It is a common occurrence because of factors such as theft, natural loss, and
mistakes.
Click here to select answer B.
You always underestimate what you have in inventory.
Click here to select answer C.
You calculated what you have in inventory by subtracting only what goes
into the finished product.
Click here to select answer D.
There never is a substantial difference. - -A
-What is the biggest problem facing new contractors when trying to obtain a
"Performance" or "Bid" bond
Click here to select answer A.
they don't have a broker
Click here to select answer B.
no prior track record
Click here to select answer C.
poor credit
Click here to select answer D.
none of the above - -B
-The minimum fine for unlawful asbestos removal is:
Click here to select answer A.
$1,000
, Click here to select answer B.
$3,000
Click here to select answer C.
$5,000
Click here to select answer D.
$7,000 - -A
-When can a contractor accept a job where the owner does not have a pre-
approved loan?
Click here to select answer A.
When there is an emergency situation and the owner has a high income and
good credit.
Click here to select answer B.
When the owner has bad credit.
Click here to select answer C.
When the owner has an amount in the bank equal to the contract cost.
Click here to select answer D.
When the owner seems kind and has an honest reputation. - -A
-Is the Form 1099-MISC required for a corporation that provided $600 in
services as an independent contractor during the calendar year?
Click here to select answer A.
Yes. Form 1099-MISC is required because the corporation is an independent
contractor that was paid $500 or more.
Click here to select answer B.
No. Form 1099-MISC is not required unless an independent contractor is paid
over $1,000 in a calendar year.
Click here to select answer C.
No. Form 1099-MISC is not required for corporations with certain exceptions.
Click here to select answer D.
,Yes. Form 1099-MISC is required for all individuals, partnerships, and
corporations that provided services as an independent contractor during the
calendar year. - -C
-A contractor sues an owner for refusing to make final payment after the job
was completed. The owner is demanding changes. What could the contractor
have done to prevent the lawsuit?
Click here to select answer A.
The contractor could have asked the workers to testify.
Click here to select answer B.
The contractor could have walked the job with the owner and had the owner
sign a job completion form.
Click here to select answer C.
The contractor could have just walked the job with the owner.
Click here to select answer D.
All of the above. - -B
-How can a new employee learn about the safety record of a company?
Click here to select answer A.
The employer must post a summary record of job-related injuries and
illnesses once a year.
Click here to select answer B.
View a Cal/OSHA safety video tape.
Click here to select answer C.
Call the Cal/OSHA consultant services.
Click here to select answer D.
None of the above. - -A
-Insurance Requirements for Public Works projects, the insurance must
provide:
Click here to select answer A.
, Workers' Compensation as required by the Labor of the State of California
and Employers Liability Insurance
Click here to select answer B.
Commercial general liability coverage
Click here to select answer C.
Automobile Liability for all owned and non-owned and hired automobiles
Click here to select answer D.
All of the above. - -D
-Of the following, who may file a mechanics' lien?
Click here to select answer A.
manufacturers of construction materials and subcontractors
Click here to select answer B.
manufacturers of construction materials and clients
Click here to select answer C.
clients and subcontractors
Click here to select answer D.
architects and subcontractors - -D
-Every original license, except an additional classification issued shall be a
probationary license until:
Click here to select answer A.
the license is renewed
Click here to select answer B.
information is brought to the attention of the registrar, during such
probationary period, regarding any act or omission of the licensee
constituting grounds for denial, revocation, or suspension of an application or
license.
Click here to select answer C.
A&B
Click here to select answer D.
Exam Questions with Answers
Why would there be a difference between the actual inventory and the
inventory shown on paper?
Click here to select answer A.
It is a common occurrence because of factors such as theft, natural loss, and
mistakes.
Click here to select answer B.
You always underestimate what you have in inventory.
Click here to select answer C.
You calculated what you have in inventory by subtracting only what goes
into the finished product.
Click here to select answer D.
There never is a substantial difference. - -A
-What is the biggest problem facing new contractors when trying to obtain a
"Performance" or "Bid" bond
Click here to select answer A.
they don't have a broker
Click here to select answer B.
no prior track record
Click here to select answer C.
poor credit
Click here to select answer D.
none of the above - -B
-The minimum fine for unlawful asbestos removal is:
Click here to select answer A.
$1,000
, Click here to select answer B.
$3,000
Click here to select answer C.
$5,000
Click here to select answer D.
$7,000 - -A
-When can a contractor accept a job where the owner does not have a pre-
approved loan?
Click here to select answer A.
When there is an emergency situation and the owner has a high income and
good credit.
Click here to select answer B.
When the owner has bad credit.
Click here to select answer C.
When the owner has an amount in the bank equal to the contract cost.
Click here to select answer D.
When the owner seems kind and has an honest reputation. - -A
-Is the Form 1099-MISC required for a corporation that provided $600 in
services as an independent contractor during the calendar year?
Click here to select answer A.
Yes. Form 1099-MISC is required because the corporation is an independent
contractor that was paid $500 or more.
Click here to select answer B.
No. Form 1099-MISC is not required unless an independent contractor is paid
over $1,000 in a calendar year.
Click here to select answer C.
No. Form 1099-MISC is not required for corporations with certain exceptions.
Click here to select answer D.
,Yes. Form 1099-MISC is required for all individuals, partnerships, and
corporations that provided services as an independent contractor during the
calendar year. - -C
-A contractor sues an owner for refusing to make final payment after the job
was completed. The owner is demanding changes. What could the contractor
have done to prevent the lawsuit?
Click here to select answer A.
The contractor could have asked the workers to testify.
Click here to select answer B.
The contractor could have walked the job with the owner and had the owner
sign a job completion form.
Click here to select answer C.
The contractor could have just walked the job with the owner.
Click here to select answer D.
All of the above. - -B
-How can a new employee learn about the safety record of a company?
Click here to select answer A.
The employer must post a summary record of job-related injuries and
illnesses once a year.
Click here to select answer B.
View a Cal/OSHA safety video tape.
Click here to select answer C.
Call the Cal/OSHA consultant services.
Click here to select answer D.
None of the above. - -A
-Insurance Requirements for Public Works projects, the insurance must
provide:
Click here to select answer A.
, Workers' Compensation as required by the Labor of the State of California
and Employers Liability Insurance
Click here to select answer B.
Commercial general liability coverage
Click here to select answer C.
Automobile Liability for all owned and non-owned and hired automobiles
Click here to select answer D.
All of the above. - -D
-Of the following, who may file a mechanics' lien?
Click here to select answer A.
manufacturers of construction materials and subcontractors
Click here to select answer B.
manufacturers of construction materials and clients
Click here to select answer C.
clients and subcontractors
Click here to select answer D.
architects and subcontractors - -D
-Every original license, except an additional classification issued shall be a
probationary license until:
Click here to select answer A.
the license is renewed
Click here to select answer B.
information is brought to the attention of the registrar, during such
probationary period, regarding any act or omission of the licensee
constituting grounds for denial, revocation, or suspension of an application or
license.
Click here to select answer C.
A&B
Click here to select answer D.
