Virginia HIC Exam | Complete Study Guide and Practice Questions All Solved

Virginia HIC Exam | Complete Study Guide and Practice Questions What is the MAXIMUM penalty for a contractor who undertakes work without the proper class of license? - Answer- $500 fine per day for each day of violation plus penalties for a misdemeanor. All Class A contractor licensure applications MUST include - Answer- information on the knowledge, skills, and abilities of the applicant. What is the PRIMARY purpose of licensing? - Answer- Protect the health and welfare of the public. When a claimant is paid funds from the Contractors Recovery Trust Fund - Answer- the contractor's license is revoked. !!! The application for licensure MUST include - Answer- the business address of the proposed designated employee. Which of the following is a requirement for a joint venture? - Answer- Either the joint venture or each contracting party of the joint venture must be licensed. All of the following must be licensed EXCEPT - Answer- a material supplier who advises a contractor. How much is the Class A initial license fee? - Answer- $200 A licensee's name change MUST be reported to the Board within a MAXIMUM of how many days? - Answer- 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? - Answer- 30 hours. A firm desiring to be licensed as a Class B contractor MUST have a MINIMUM net worth of - Answer- $15,000. According to the Board Rules and Regulations, which of the following could be a qualified individual? - Answer- 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? - Answer- 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? - Answer- 5 Additions to buildings MUST comply with - Answer- the current code for new construction. When MUST the work be stopped following the issuance of a stop work order? - Answer- Immediately Who is to be in charge of a local building department? - Answer- 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? - Answer- 45 days Contractors will be assessed a fee for the Transaction Recovery Fund whenever the fund balance is less than - Answer- $400,000. Payments made by the Transaction Recovery Fund to claimants may include an amount for - Answer- attorneys' fees. A contract for which of the following types of structures may be subject to recovery from the Transaction Recovery Fund? - Answer- 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? - Answer- 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? - Answer- 30 days. Temporary erosion and sediment control measures MUST be removed within a MAXIMUM of how many days after the final site stabilization? - Answer- 30 days. Which of the following statements about a sole proprietorship is TRUE? - Answer- 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? - Answer- Partnership. Which of the following estimating methods is typically used by the architect rather than the contractor? - Answer- Conceptual estimate. Equipment needs for a project are BEST estimated by - Answer- 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? - Answer- Labor burden. A reason for using a lower than usual profit markup for a specific project could be to - Answer- cover company overhead costs. Which of the following is a TRUE statement about estimating? - Answer- Both overestimating and underestimating costs could have disastrous consequences. A contractor should do all of the following when estimating a project EXCEPT - Answer- assume ideal conditions What MUST be included in an estimate for a job? - Answer- Materials, labor, equipment, and overhead costs. Costs that relate to construction activity but are NOT easily identifiable for a specific project are considered - Answer- project overhead. All of the following are considered general conditions that could affect costs directly associated with a specific project EXCEPT - Answer- profit margin The two basic laws of construction estimating are - Answer- 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 - Answer- cost plus contract. Generally, who is responsible for ensuring that a project meets all zoning requirements? - Answer- Project owner. A bid that does NOT specifiy how long it remains open or in effect is considered to be open for - Answer- a reasonable amount of time. A contractor is about to sign an agreement with a representative of a corporation. The contractor should - Answer- verify that the representative has the authority to bind the corporation.