SALESPERSON EXAM PRACTICE
QUESTIONS AND ANSWERS
What is the maximum deposit a contractor can accept for a project with a total
contract price of $1,500?
A. $150
B. $500
C. $750
D. $1,500 - ANSWER-$500
The Home Improvement Commission holds a hearing to determine the status of an
individual's application for licensure. The Commission MUST notify the applicant
of its decision within
A. 30 days after the hearing
B. 60 days after the hearing
C. 90 days after the hearing
D. 120 days after the hearing - ANSWER-60 DAYS AFTER THE HEARING
What is the maximum fine for willfully violating any provision of the Maryland
Door-to-Door Sales Act?
A. $500
B. $1,000
C. $2,000
D. $5,000 - ANSWER-$1,000
What is the maximum imprisonment for willfully violating any provision of the
Maryland Door-to-Door Sales Act?
A. 6 months
B. 1 year
C. 2 years
D. 5 years - ANSWER-1 YEAR
Which of the following holidays is considered a business day with regard to the
time period allowed for cancellation of a door-to-door sales contract?
A. Columbus Day
,B. Veteran's Day
C. Election Day
D. Washington's Birthday - ANSWER-ELECTION DAY
A home improvement contract must contain the approximate dates when the
performance of the home improvement will begin and when it will be
A. Partially completed
B. Substantially completed
C. Fully completed
D. Inspected - ANSWER-SUBSTANTIALLY COMPLETED
What is the maximum amount that a home improvement contractor may pay to a
homeowner for referring a client to the contractor?
A. $50
B. $100
C. $200
D. The contractor is not permitted to compensate the homeowner for referrals -
ANSWER-THE CONTRACTOR IS NOT PERMITTED TO COMPENSATE
THE HOMEOWNER FOR REFERRALS
A person who is convicted of acting without a required Home Improvement license
MUST wait a MINIMUM of what time period before being issued a license?
A. 6 months
B. 1 year
C. 2 years
D. 5 years - ANSWER-1 YEAR
The Commission MUST give a MINIMUM of how many days’ notice to a licensee
about a hearing on disciplinary action against the licensee?
A. 5 days
B. 10 days
C. 15 days
D. 20 days - ANSWER-10 DAYS
A renewal notice MUST be mailed by the Commission within how many months
of the license expiration date?
A. 1 month
,B. 2 months
C. 3 months
D. 6 months - ANSWER-1 MONTH
All of the following are considered home improvements EXCEPT
A. Repairs to an HVAC system
B. Installing a new roof
C. Painting the exterior of a house
D. Replacing windows - ANSWER-REPAIRS TO AN HVAC SYSTEM
A local county or municipality may
A. Regulate the quality of home improvements
B. Issue home improvement licenses
C. Override state regulations
D. None of the above - ANSWER-REGULATE THE QUALITY OF HOME
IMPROVEMENTS
The office of the Home Improvement Commission is located in
A. Annapolis
B. Baltimore
C. Rockville
D. Frederick - ANSWER-BALTIMORE
The official recordkeeper of the Home Improvement Commission shall be the
A. Secretary of the Commission
B. Executive Director of the Commission
C. Chairman of the Commission
D. Treasurer of the Commission - ANSWER-EXECUTIVE DIRECTOR OF THE
COMMISSION
Who investigates complaints against Home Improvement licensees?
A. Local Police
B. Investigative staff of the Home Improvement Commission
C. State Attorney's Office
D. Federal Trade Commission - ANSWER-INVESTIGATIVE STAFF OF THE
HOME IMPROVEMENT COMMISSION
, All of the following activities are grounds for disciplinary action against a licensee
EXCEPT
A. Issuing a promissory note for the home improvement
B. Failing to complete work on time
C. Misrepresenting the cost of materials
D. Violating building codes - ANSWER-ISSUING A PROMISSORY NOTE FOR
THE HOME IMPROVEMENT
A homeowner cancels a $1,000 door-to-door contract 2 days after signing the
contract. The MAXIMUM service fee that may be collected by the contractor is
A. $50
B. $100
C. $200
D. Nothing. No service fee may be collected - ANSWER-NOTHING. NO
SERVICE FEE MAY BE COLLECTED
All of the following are grounds for denial of licensure EXCEPT
A. Criminal record
B. Not being a Maryland resident
C. Previous license revocation
D. Fraudulent practices - ANSWER-NOT BEING A MARYLAND RESIDENT
A license that is NOT renewed will
A. Be suspended
B. Expire
C. Be revoked
D. Be transferred - ANSWER-EXPIRE
All of the following Commission records can be inspected by the public during
normal office hours EXCEPT
A. Financial records of each licensee
B. Meeting minutes
C. Licensee list
D. Disciplinary actions - ANSWER-FINANCIAL RECORDS OF EACH
LICENSEE