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VA Contractors General (Class A or B) EXAM
TESTBANK ALL QUESTIONS AND CORRECT
ANSWERS LATEST UPDATE THIS YEAR
QUESTION: A contractor uses funds paid by a project owner to purchase materials to start a
different project. The laborers for the original project do NOT get paid by the contractor. Under
the lien law, this is considered... - ANSWER-Intent to defraud by the contractor
QUESTION: What should be added to wage rates to ensure accuracy in estimating labor for a
project? - ANSWER-Labor burden
QUESTION: What MUST be included in an estimate for a job? - ANSWER-Materials, labor,
equipment, and overhead costs
QUESTION: The 3 PRIMARY elements of a contract are... - ANSWER-offer, acceptance, and
consideration
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QUESTION: At LEAST how often MUST an employee 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? - ANSWER-every 2 months
QUESTION: Costs that relate to construction activity but are NOT easily identifiable for a specific
project are considered... - ANSWER-Project overhead
QUESTION: A reason for using a lower than usual profit markup for a specific project could be
to... - ANSWER-cover company overhead costs
QUESTION: Time card records MUST be kept a MINIMUM of... - ANSWER-4 years
QUESTION: 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
QUESTION: 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
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, Page 3 of 18
Q; Which of the following estimating methods is typically used by the architect rather than the
contractor? - ANSWER-Conceptual estimate
QUESTION: 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
QUESTION: Equipment needs for a project are BEST estimated by... - ANSWER-Calculating the
number of hours or days it is needed
QUESTION: What type of insurance is needed for a partnership to insure that the business does
NOT go out of business if one partner dies? - ANSWER-Key man
QUESTION: An owner hires a construction manager for a project. Which of the following is
TRUE with regard to subcontractors? - ANSWER-The subcontractors are prime contractors
QUESTION: What protects a contractor from risk? - ANSWER-Insurance
3
VA Contractors General (Class A or B) EXAM
TESTBANK ALL QUESTIONS AND CORRECT
ANSWERS LATEST UPDATE THIS YEAR
QUESTION: A contractor uses funds paid by a project owner to purchase materials to start a
different project. The laborers for the original project do NOT get paid by the contractor. Under
the lien law, this is considered... - ANSWER-Intent to defraud by the contractor
QUESTION: What should be added to wage rates to ensure accuracy in estimating labor for a
project? - ANSWER-Labor burden
QUESTION: What MUST be included in an estimate for a job? - ANSWER-Materials, labor,
equipment, and overhead costs
QUESTION: The 3 PRIMARY elements of a contract are... - ANSWER-offer, acceptance, and
consideration
1
, Page 2 of 18
QUESTION: At LEAST how often MUST an employee 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? - ANSWER-every 2 months
QUESTION: Costs that relate to construction activity but are NOT easily identifiable for a specific
project are considered... - ANSWER-Project overhead
QUESTION: A reason for using a lower than usual profit markup for a specific project could be
to... - ANSWER-cover company overhead costs
QUESTION: Time card records MUST be kept a MINIMUM of... - ANSWER-4 years
QUESTION: 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
QUESTION: 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
2
, Page 3 of 18
Q; Which of the following estimating methods is typically used by the architect rather than the
contractor? - ANSWER-Conceptual estimate
QUESTION: 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
QUESTION: Equipment needs for a project are BEST estimated by... - ANSWER-Calculating the
number of hours or days it is needed
QUESTION: What type of insurance is needed for a partnership to insure that the business does
NOT go out of business if one partner dies? - ANSWER-Key man
QUESTION: An owner hires a construction manager for a project. Which of the following is
TRUE with regard to subcontractors? - ANSWER-The subcontractors are prime contractors
QUESTION: What protects a contractor from risk? - ANSWER-Insurance
3
