NASCLA Contractors Guide || All Questions Answered Correctly.
market analysis correct answers major competitors
Financial Plan correct answers projection
Advantage of a Sole Proprietorship correct answers Freedom in decision-making process
Disadvantage of a Sole Proprietorship correct answers Unlimited personal liability
Partnership correct answers each partner expects to share in the profits and losses of the business.
Two types of partnerships- General and limited
Disadvantages of a General Partnership correct answers Unlimited personal liability of general partners.
Partnership dissolves in the event of the death of a general partner.
Purpose of Licensing correct answers A major purpose of licensing is to protect the health, safety, and welfare of the public
VA Board for Contractors correct answers 7 licensed contractor members
Licensing Requirements: Exemptions correct answers Any material supplier
Class A correct answers Single contract - $120,000 or more
12-month - $750,000 or more
License classes are determined by correct answers Net worth
Class A
Class B correct answers $45,000
$15,000
License Renewals correct answers license expire two years must file renewal form
within 30 days of the license expiration fees are not received within 30 days must reinstate the license
Changes correct answers change of designated employee 90 days
change of a business/trade name 30 days change of address 30 days
Prohibited act correct answers Failure to maintain all documents relating to contract 5 years Recovery Fund correct answers to homeowners per claimant $20,000
per contractor $40,000
$25 assessment minimum balance set at $400,000
If the balance of the fund falls below assessment will not exceed $50
Property Insurance correct answers covers your business and personal property
Named Peril Builders' Risk Insurance correct answers Water damage
Transportation Floater and Motor Truck Cargo Insurance correct answers damage that occurs to freight during transport
Commercial General Liability (CGL) correct answers bodily injury that results in actual physical
damage or loss for individuals who are not employees.
damage or loss to property not belonging to the business.
Key Man Life Insurance correct answers partnership
if one of the partners died
Workers' Compensation Insurance correct answers for employees who are injured on the job. purchased by the employer
VA Coverage Requirements correct answers Under VA Law Three or more full-time or part-time employees
Subcontractors correct answers verify their insurance coverage
Bond correct answers is a risk transfer between a surety, the contractor, and project owner
Types of Bonds correct answers Bid bond - will do work at the submitted bid price Performance bond - complete a contract Payment bond - subcontractors and suppliers will be paid
Miller Act correct answers for federally funded projects
Construction Industry Payment Protection Act of 1999 correct answers Miller Act payment bond
protections subcontractor
If changes are made to a bid package before it is due correct answers Addendum is issued
Determining Estimated Costs correct answers quantity take-off method
market analysis correct answers major competitors
Financial Plan correct answers projection
Advantage of a Sole Proprietorship correct answers Freedom in decision-making process
Disadvantage of a Sole Proprietorship correct answers Unlimited personal liability
Partnership correct answers each partner expects to share in the profits and losses of the business.
Two types of partnerships- General and limited
Disadvantages of a General Partnership correct answers Unlimited personal liability of general partners.
Partnership dissolves in the event of the death of a general partner.
Purpose of Licensing correct answers A major purpose of licensing is to protect the health, safety, and welfare of the public
VA Board for Contractors correct answers 7 licensed contractor members
Licensing Requirements: Exemptions correct answers Any material supplier
Class A correct answers Single contract - $120,000 or more
12-month - $750,000 or more
License classes are determined by correct answers Net worth
Class A
Class B correct answers $45,000
$15,000
License Renewals correct answers license expire two years must file renewal form
within 30 days of the license expiration fees are not received within 30 days must reinstate the license
Changes correct answers change of designated employee 90 days
change of a business/trade name 30 days change of address 30 days
Prohibited act correct answers Failure to maintain all documents relating to contract 5 years Recovery Fund correct answers to homeowners per claimant $20,000
per contractor $40,000
$25 assessment minimum balance set at $400,000
If the balance of the fund falls below assessment will not exceed $50
Property Insurance correct answers covers your business and personal property
Named Peril Builders' Risk Insurance correct answers Water damage
Transportation Floater and Motor Truck Cargo Insurance correct answers damage that occurs to freight during transport
Commercial General Liability (CGL) correct answers bodily injury that results in actual physical
damage or loss for individuals who are not employees.
damage or loss to property not belonging to the business.
Key Man Life Insurance correct answers partnership
if one of the partners died
Workers' Compensation Insurance correct answers for employees who are injured on the job. purchased by the employer
VA Coverage Requirements correct answers Under VA Law Three or more full-time or part-time employees
Subcontractors correct answers verify their insurance coverage
Bond correct answers is a risk transfer between a surety, the contractor, and project owner
Types of Bonds correct answers Bid bond - will do work at the submitted bid price Performance bond - complete a contract Payment bond - subcontractors and suppliers will be paid
Miller Act correct answers for federally funded projects
Construction Industry Payment Protection Act of 1999 correct answers Miller Act payment bond
protections subcontractor
If changes are made to a bid package before it is due correct answers Addendum is issued
Determining Estimated Costs correct answers quantity take-off method
