NASCLA Business Law and Project Management (BASIC) Practice Test 2 with
Questions and Answers
_____ absolves the indemnified party from any payment for losses and damages incurred by a
third party.
A. Indemnification
B. Delays and extensions of time
C. Schedule acceleration
D. Force majeure - ✔✔✔-A. Indemnification
7-4
_____ determine the type of materials or methods used.
A. Specifications
B. Building codes
C. References
D. UL - ✔✔✔-A. Specifications
6-2
_____ is (are) NOT a good guideline for a job description.
A. Skills and knowledge needed
B. Certificates
C. Responsibility
D. Insurances - ✔✔✔-D. Insurances
,NASCLA Business Law and Project Management (BASIC) Practice Test 2 with
Questions and Answers
10-10
_____ is a provision written into a contract that is used to limit risk in case of labor strikes.
A. Indemnification
B. Delays and extensions of time
C. Schedule acceleration
D. Force majeure - ✔✔✔-D. Force majeure
7-5
_____ is an exclusion to an advantage of a sole proprietor.
A. Limited personal responsibility
B. Low startup costs
C. Ownership of profits
D. Decision making freedom - ✔✔✔-A. Limited personal responsibility
2-2
_____ is anything of value.
A. A signature
B. Consideration
C. A date
, NASCLA Business Law and Project Management (BASIC) Practice Test 2 with
Questions and Answers
D. A counteroffer - ✔✔✔-B. Consideration
7-2
_____ is NOT a disadvantage of a C corporation.
A. Complex and expensive organization
B. Limitations on corporate activities
C. Unlimited life of the business
D. Extensive regulation and record-keeping requirements - ✔✔✔-C. Unlimited life of the
business
3-5
_____ is NOT a purpose of marketing.
A. To bring in new customers
B. To retain existing customers
C. To increase cash flow
D. To hire employees - ✔✔✔-D. To hire employees
5-1
_____ is relatively unimportant when naming a business.
A. Impression of firm
Questions and Answers
_____ absolves the indemnified party from any payment for losses and damages incurred by a
third party.
A. Indemnification
B. Delays and extensions of time
C. Schedule acceleration
D. Force majeure - ✔✔✔-A. Indemnification
7-4
_____ determine the type of materials or methods used.
A. Specifications
B. Building codes
C. References
D. UL - ✔✔✔-A. Specifications
6-2
_____ is (are) NOT a good guideline for a job description.
A. Skills and knowledge needed
B. Certificates
C. Responsibility
D. Insurances - ✔✔✔-D. Insurances
,NASCLA Business Law and Project Management (BASIC) Practice Test 2 with
Questions and Answers
10-10
_____ is a provision written into a contract that is used to limit risk in case of labor strikes.
A. Indemnification
B. Delays and extensions of time
C. Schedule acceleration
D. Force majeure - ✔✔✔-D. Force majeure
7-5
_____ is an exclusion to an advantage of a sole proprietor.
A. Limited personal responsibility
B. Low startup costs
C. Ownership of profits
D. Decision making freedom - ✔✔✔-A. Limited personal responsibility
2-2
_____ is anything of value.
A. A signature
B. Consideration
C. A date
, NASCLA Business Law and Project Management (BASIC) Practice Test 2 with
Questions and Answers
D. A counteroffer - ✔✔✔-B. Consideration
7-2
_____ is NOT a disadvantage of a C corporation.
A. Complex and expensive organization
B. Limitations on corporate activities
C. Unlimited life of the business
D. Extensive regulation and record-keeping requirements - ✔✔✔-C. Unlimited life of the
business
3-5
_____ is NOT a purpose of marketing.
A. To bring in new customers
B. To retain existing customers
C. To increase cash flow
D. To hire employees - ✔✔✔-D. To hire employees
5-1
_____ is relatively unimportant when naming a business.
A. Impression of firm
