California Alarm Company Operator (ACO) Exam –
COMPLETE QUESTIONS AND DETAILED SOLUTIONS
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California Alarm Company Operator (ACO) Exam –
California Alarm Company Operator (ACO) Exam based on the Alarm Company Act (Business &
Professions Code §§7590-7599.62), BSIS regulations, and standard industry practices.
1. If an ACO hires a new alarm agent, how soon must they be registered?
A) Within 90 days
B) Within 60 days
C) Before the employee starts
D) After the probation period
Answer: C
Rationale: Alarm agents must be registered with BSIS before they begin any alarm-related work .
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2. What is the purpose of a surety bond for an ACO?
A) To guarantee service uptime
B) To protect the public against illegal actions by the licensee
C) To pay employee wages
D) To insure alarm equipment
Answer: B
Rationale: The surety bond protects the public against acts like fraud, theft, or misrepresentation by the
licensee .
3. What state agency licenses Alarm Company Operators in California?
A) California Department of Justice
B) Bureau of Security and Investigative Services (BSIS)
C) Department of Consumer Affairs
D) Department of Insurance
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Answer: B
Rationale: BSIS, under the California Department of Consumer Affairs, is responsible for licensing and
regulating Alarm Company Operators .
4. An ACO fails to renew their license on time. What happens?
A) Nothing happens
B) Grace period of 60 days
C) Late renewal with a penalty within 60 days
D) Must retake the exam immediately
Answer: C
Rationale: A late renewal is permitted within 60 days but requires payment of a penalty .
5. Who must register with BSIS if they work for an ACO and install alarms?
A) All employees
B) Only office staff
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C) Alarm agents
D) Supervisors only
Answer: C
Rationale: Alarm agents who install, maintain, or service alarm systems must be registered with BSIS .
6. What is the penalty for operating an alarm company without a license in California?
A) A warning
B) Suspension from other licenses
C) Misdemeanor with fines or jail
D) No penalty if it's a first offense
Answer: C
Rationale: Operating without a license is a misdemeanor, punishable by fines and/or imprisonment .
7. What document must an alarm agent carry while working?
A) Their driver's license