ARIZONA CR34 ACTUAL EXAM 2026 FULL
TEST PAPER WITH ACCURATE ANSWERS
◉ what document shows the amount of revenue from all jobs?
Answer: income statement
◉ which one of the following would not be included on a profit and
loss statement? Answer: taxes owed
◉ which one of the following types of financial statements examines
the cash generating and distribution activities of a construction
company? Answer: statement of cash flow
◉ which of the following is not on a income statement? Answer:
cash
◉ a company's current assets are $68,000 and long term assets are
%162,000 it's current liabilities are $54,000 and long term liabilities
are $72,000 . this company ________. Answer: is set to withstand a
slow period
◉ which accounting method records income when it is earned?
Answer: accrual method
,◉ which of the following statements CORRECTLY describes the cash
method of accounting? Answer: income / expenses are recorded at
the time they are received / paid.
◉ Given the following information, what is the contractors return in
investment ( total assets)?
current assets: $80,000
fixed assets: $112,000
inventory not included in current assets: $12,000
current liabilities: $30,000
fixed liabilities: $86,000
net profit: $ 57,000 Answer: 27.9%
◉ the biggest advantage of using the percentage of completion
method for long - term ( greater than one year or does not finish in
the same year as started ) contracts is that is does a better job of:
Answer: matching revenue to the expenses incurred related to that
revenue
◉ given: a prime contractor has received a periodic payment on a
contract. subcontractors have submitted invoices for the work they
have performed for the prime contractor. within how many days
after receipt of the periodic payment must the prime contractor pay
the subcontractors? Answer: 7 days
,◉ what percentage of an employees gross pay for social security and
medicare taxes is an employer required to pay? Answer: 7.65%
◉ given: the following are cost items for a contract period of nine
months. assume that there are 30 calendar days per month. full time
on site superintendent payroll costs $42,000 a year temporary office
trailer rented at $750 a month - rental of 2 temporary toilets $200
each per month - water bill $125 per month - electricity for trailer
$250 per month - telephone bill for trailer $75 per month - one time
charge of $275 for telephone installation - one time charge of $200
for water meter installation - total cost for the nine month period
will be? Answer: $46,375.00
◉ a company's balance sheet shows assets, of $20,000 and owner's
equity of $12,000 the company's liabilities are: Answer: $8,000
◉ an employee can complete 160 units of work in one hour. the
average labor cost is $40 per hour. what is the rate per unit? Answer:
$0.25 per unit
◉ a construction companies balance sheet shows the following
information.
cash $24,000
, accounts receivable $24,000
equipment $18,000
vehicles $30,000
accounts payable $44,000
notes payable $16,000
accrued wages $9,000
what is the net worth of the company? Answer: $59,000
◉ a contractor bids a job for $10,000 in june. he is awarded the
contract and is paid $8,000 to cover expenses also in june. the
contractor pays bills of $5,000 and $1,000 in june. he was paid in
may $3,000 for another job and $1,000 of that was for expenses.
what is the contractors net income for june? Answer: $2,000
◉ a contractor is doing a cost plus contract for $100,000. he is to get
40% over the direct costs. if he can do the job for under $100,000 he
gets 10% of the savings. he also will get $500.00 a day if he finishes
the job early. if his direct costs equal $60,000 and he finishes 5 days
early, how much does the contractor get paid? Answer: $85,000 -
$90,000
◉ you are purchasing an insurance policy with an monthly premium
of $300 if you implement a safety program you can save 10 percent
on the cost of the policy. the safety program costs $400 to start and
TEST PAPER WITH ACCURATE ANSWERS
◉ what document shows the amount of revenue from all jobs?
Answer: income statement
◉ which one of the following would not be included on a profit and
loss statement? Answer: taxes owed
◉ which one of the following types of financial statements examines
the cash generating and distribution activities of a construction
company? Answer: statement of cash flow
◉ which of the following is not on a income statement? Answer:
cash
◉ a company's current assets are $68,000 and long term assets are
%162,000 it's current liabilities are $54,000 and long term liabilities
are $72,000 . this company ________. Answer: is set to withstand a
slow period
◉ which accounting method records income when it is earned?
Answer: accrual method
,◉ which of the following statements CORRECTLY describes the cash
method of accounting? Answer: income / expenses are recorded at
the time they are received / paid.
◉ Given the following information, what is the contractors return in
investment ( total assets)?
current assets: $80,000
fixed assets: $112,000
inventory not included in current assets: $12,000
current liabilities: $30,000
fixed liabilities: $86,000
net profit: $ 57,000 Answer: 27.9%
◉ the biggest advantage of using the percentage of completion
method for long - term ( greater than one year or does not finish in
the same year as started ) contracts is that is does a better job of:
Answer: matching revenue to the expenses incurred related to that
revenue
◉ given: a prime contractor has received a periodic payment on a
contract. subcontractors have submitted invoices for the work they
have performed for the prime contractor. within how many days
after receipt of the periodic payment must the prime contractor pay
the subcontractors? Answer: 7 days
,◉ what percentage of an employees gross pay for social security and
medicare taxes is an employer required to pay? Answer: 7.65%
◉ given: the following are cost items for a contract period of nine
months. assume that there are 30 calendar days per month. full time
on site superintendent payroll costs $42,000 a year temporary office
trailer rented at $750 a month - rental of 2 temporary toilets $200
each per month - water bill $125 per month - electricity for trailer
$250 per month - telephone bill for trailer $75 per month - one time
charge of $275 for telephone installation - one time charge of $200
for water meter installation - total cost for the nine month period
will be? Answer: $46,375.00
◉ a company's balance sheet shows assets, of $20,000 and owner's
equity of $12,000 the company's liabilities are: Answer: $8,000
◉ an employee can complete 160 units of work in one hour. the
average labor cost is $40 per hour. what is the rate per unit? Answer:
$0.25 per unit
◉ a construction companies balance sheet shows the following
information.
cash $24,000
, accounts receivable $24,000
equipment $18,000
vehicles $30,000
accounts payable $44,000
notes payable $16,000
accrued wages $9,000
what is the net worth of the company? Answer: $59,000
◉ a contractor bids a job for $10,000 in june. he is awarded the
contract and is paid $8,000 to cover expenses also in june. the
contractor pays bills of $5,000 and $1,000 in june. he was paid in
may $3,000 for another job and $1,000 of that was for expenses.
what is the contractors net income for june? Answer: $2,000
◉ a contractor is doing a cost plus contract for $100,000. he is to get
40% over the direct costs. if he can do the job for under $100,000 he
gets 10% of the savings. he also will get $500.00 a day if he finishes
the job early. if his direct costs equal $60,000 and he finishes 5 days
early, how much does the contractor get paid? Answer: $85,000 -
$90,000
◉ you are purchasing an insurance policy with an monthly premium
of $300 if you implement a safety program you can save 10 percent
on the cost of the policy. the safety program costs $400 to start and
