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Georgia NASCLA Contractor Exam COMPLETE
QUESTIONS AND DETAILED SOLUTIONS LATEST
UPDATE THIS YEAR-JUST RELEASED
Georgia NASCLA Contractor Exam coverage in summarized point form, followed by 250 MCQs with
rationales in random order, based on the NASCLA Contractors Guide to Business, Law and Project
Management (3rd/5th ed.), Georgia State Licensing Board rules (O.C.G.A. Title 43, Chapter 41), and
general building codes (IBC/IRC).
The Georgia NASCLA exam has two parts: (1) NASCLA Accredited Commercial Trade Exam (115
questions, open book, 70% to pass); and (2) Georgia Business and Law Exam (50 questions, 70% to
pass) .
EXAM COVERAGE (SUMMARIZED POINTS)
• Georgia Licensing Requirements: General Contractor (Unlimited/Limited Tier), Residential-
Basic, Residential-Light Commercial.
• Georgia Business & Law (O.C.G.A. Title 43, Chapter 41): Application requirements, net worth
($150k/$25k), age 21, experience, qualifying agent, license renewal, continuing education .
• Georgia Lien Law (O.C.G.A. § 44-14-360): Notice of Commencement ($10k+); Preliminary Notice
(Notice to Owner); Notice of Intent to Lien (30/45 days); Claim of Lien (60 days).
• Insurance & Bonds: General Liability ($500k+ req.), Workers' Comp (3+ employees), Builders
Risk, Performance Bonds, Payment Bonds, Bid Bonds.
• Business Entities: Sole Proprietorship, Partnership, LLC, Corporation (qualified agent, registered
agent, pass-through taxation).
• Project Management: Project delivery methods (Design-Bid-Build, Design-Build, CM at Risk), CSI
MasterFormat, procurement.
• Construction Estimating: Direct costs (labor, material, equipment, subcontractors), indirect
costs, overhead, profit mark-up, contingency.
• Scheduling (CPM): Critical Path Method, float (slack), predecessors, successors, Gantt charts,
resource leveling.
• Contract Law: Types (lump sum, cost-plus, unit price, time & materials), elements of
enforceable contract, breach, substantial performance, change orders, force majeure.
• Georgia Mechanics' Liens & Bonds: Lien waiver (partial/unconditional), stop notice, payment
bond claims, public vs. private projects.
• Labor Law (FLSA): Overtime (40 hours), exempt vs. non-exempt, Davis-Bacon Act (prevailing
wage), independent contractor vs. employee (IRS 20-factor/common law).
• Safety (OSHA 29 CFR 1926): Fall protection (6ft), trenching (5ft), scaffolding, competent person,
recordkeeping (OSHA 300 log), serious violation penalties.
• Environmental: Erosion control (NPDES, Georgia Erosion and Sedimentation Act, 'Green Book'),
stormwater, asbestos/lead abatement, wetland protection.
• Financial Management: Balance sheet, P&L (income statement), cash flow, working capital,
break-even analysis, accounting methods (cash, accrual, completed contract).
• Taxes: Georgia sales tax (4% state + local), income tax, SUTA, FUTA, self-employment tax, 1099-
NEC.
• Building Codes (IBC/IRC): Occupancy classification (A, B, R, I), fire-resistance ratings, egress
(doors, stairways), Type V construction, accessibility (ADA/ICC A117.1).
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• Sitework & Concrete: Soil bearing capacity (1,500+ psf), frost depth, slab-on-grade, foundation
walls, rebar cover, slump test, water-cement ratio (strength), vapor barrier.
• Wood Framing: Stud spacing (16" OC), header sizing, joist spans, notching/boring limits,
sheathing nailing patterns, roof trusses.
• Thermal & Moisture Protection: WRB (weather-resistive barrier), flashing, insulation R-values
(IECC Climate Zone 3: R-19 walls, R-30/R-38 attic), vapor retarders, ice barriers.
• Finishes & Assemblies: Drywall (Type X fire rating), taping/mudding, exterior cladding (siding,
brick veneer), window flashing (pan flashing).
• Mechanical, Electrical, Plumbing (MEP): Basic HVAC sizing, ductwork, GFCI/AFCI, plumbing
stack/vent, water heater requirements.
• Project Closeout: Substantial completion, final completion, punch list, record drawings (as-
builts), O&M manuals, warranties, final payment.
QUESTIONS 1–250
1. Which Georgia business entity provides owners with limited personal liability while allowing pass-
through taxation?
A) Sole proprietorship
B) General partnership
C) Limited liability company (LLC)
D) C-Corporation
Answer: C
Rationale: An LLC shields members from personal liability for business debts and, by default, its income
is passed through to members‘ personal tax returns, avoiding double taxation .
2. Under Georgia law, a subcontractor must file a Notice of Intent to Lien within how many days after
the last day of work?
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A) 30 days
B) 45 days
C) 60 days
D) 90 days
Answer: B
Rationale: Georgia requires a subcontractor to serve a Notice of Intent to Lien within 45 days after the
last day of work to preserve lien rights .
3. Which Georgia licensing classification allows a contractor to perform work on both residential and
light commercial projects up to $1,000,000?
A) Residential-Basic
B) Residential-Light Commercial
C) General Contractor (Limited Tier)
D) Specialty Contractor
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Answer: C
Rationale: A Limited Tier General Contractor license permits work on both residential and light-
commercial projects with a contract value not exceeding $1,000,000 .
4. What is the minimum net worth requirement for an Unlimited Tier General Contractor license in
Georgia?
A) $25,000
B) $50,000
C) $150,000
D) $250,000
Answer: C
Rationale: Applicants must affirm a net worth of at least **$150,000**. If they cannot, they may apply
for a Limited Tier license with $25,000 net worth .
5. Under OSHA 29 CFR 1926.501, at what height is fall protection required for most construction
activities?
A) 4 feet
Georgia NASCLA Contractor Exam COMPLETE
QUESTIONS AND DETAILED SOLUTIONS LATEST
UPDATE THIS YEAR-JUST RELEASED
Georgia NASCLA Contractor Exam coverage in summarized point form, followed by 250 MCQs with
rationales in random order, based on the NASCLA Contractors Guide to Business, Law and Project
Management (3rd/5th ed.), Georgia State Licensing Board rules (O.C.G.A. Title 43, Chapter 41), and
general building codes (IBC/IRC).
The Georgia NASCLA exam has two parts: (1) NASCLA Accredited Commercial Trade Exam (115
questions, open book, 70% to pass); and (2) Georgia Business and Law Exam (50 questions, 70% to
pass) .
EXAM COVERAGE (SUMMARIZED POINTS)
• Georgia Licensing Requirements: General Contractor (Unlimited/Limited Tier), Residential-
Basic, Residential-Light Commercial.
• Georgia Business & Law (O.C.G.A. Title 43, Chapter 41): Application requirements, net worth
($150k/$25k), age 21, experience, qualifying agent, license renewal, continuing education .
• Georgia Lien Law (O.C.G.A. § 44-14-360): Notice of Commencement ($10k+); Preliminary Notice
(Notice to Owner); Notice of Intent to Lien (30/45 days); Claim of Lien (60 days).
• Insurance & Bonds: General Liability ($500k+ req.), Workers' Comp (3+ employees), Builders
Risk, Performance Bonds, Payment Bonds, Bid Bonds.
• Business Entities: Sole Proprietorship, Partnership, LLC, Corporation (qualified agent, registered
agent, pass-through taxation).
• Project Management: Project delivery methods (Design-Bid-Build, Design-Build, CM at Risk), CSI
MasterFormat, procurement.
• Construction Estimating: Direct costs (labor, material, equipment, subcontractors), indirect
costs, overhead, profit mark-up, contingency.
• Scheduling (CPM): Critical Path Method, float (slack), predecessors, successors, Gantt charts,
resource leveling.
• Contract Law: Types (lump sum, cost-plus, unit price, time & materials), elements of
enforceable contract, breach, substantial performance, change orders, force majeure.
• Georgia Mechanics' Liens & Bonds: Lien waiver (partial/unconditional), stop notice, payment
bond claims, public vs. private projects.
• Labor Law (FLSA): Overtime (40 hours), exempt vs. non-exempt, Davis-Bacon Act (prevailing
wage), independent contractor vs. employee (IRS 20-factor/common law).
• Safety (OSHA 29 CFR 1926): Fall protection (6ft), trenching (5ft), scaffolding, competent person,
recordkeeping (OSHA 300 log), serious violation penalties.
• Environmental: Erosion control (NPDES, Georgia Erosion and Sedimentation Act, 'Green Book'),
stormwater, asbestos/lead abatement, wetland protection.
• Financial Management: Balance sheet, P&L (income statement), cash flow, working capital,
break-even analysis, accounting methods (cash, accrual, completed contract).
• Taxes: Georgia sales tax (4% state + local), income tax, SUTA, FUTA, self-employment tax, 1099-
NEC.
• Building Codes (IBC/IRC): Occupancy classification (A, B, R, I), fire-resistance ratings, egress
(doors, stairways), Type V construction, accessibility (ADA/ICC A117.1).
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• Sitework & Concrete: Soil bearing capacity (1,500+ psf), frost depth, slab-on-grade, foundation
walls, rebar cover, slump test, water-cement ratio (strength), vapor barrier.
• Wood Framing: Stud spacing (16" OC), header sizing, joist spans, notching/boring limits,
sheathing nailing patterns, roof trusses.
• Thermal & Moisture Protection: WRB (weather-resistive barrier), flashing, insulation R-values
(IECC Climate Zone 3: R-19 walls, R-30/R-38 attic), vapor retarders, ice barriers.
• Finishes & Assemblies: Drywall (Type X fire rating), taping/mudding, exterior cladding (siding,
brick veneer), window flashing (pan flashing).
• Mechanical, Electrical, Plumbing (MEP): Basic HVAC sizing, ductwork, GFCI/AFCI, plumbing
stack/vent, water heater requirements.
• Project Closeout: Substantial completion, final completion, punch list, record drawings (as-
builts), O&M manuals, warranties, final payment.
QUESTIONS 1–250
1. Which Georgia business entity provides owners with limited personal liability while allowing pass-
through taxation?
A) Sole proprietorship
B) General partnership
C) Limited liability company (LLC)
D) C-Corporation
Answer: C
Rationale: An LLC shields members from personal liability for business debts and, by default, its income
is passed through to members‘ personal tax returns, avoiding double taxation .
2. Under Georgia law, a subcontractor must file a Notice of Intent to Lien within how many days after
the last day of work?
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A) 30 days
B) 45 days
C) 60 days
D) 90 days
Answer: B
Rationale: Georgia requires a subcontractor to serve a Notice of Intent to Lien within 45 days after the
last day of work to preserve lien rights .
3. Which Georgia licensing classification allows a contractor to perform work on both residential and
light commercial projects up to $1,000,000?
A) Residential-Basic
B) Residential-Light Commercial
C) General Contractor (Limited Tier)
D) Specialty Contractor
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Answer: C
Rationale: A Limited Tier General Contractor license permits work on both residential and light-
commercial projects with a contract value not exceeding $1,000,000 .
4. What is the minimum net worth requirement for an Unlimited Tier General Contractor license in
Georgia?
A) $25,000
B) $50,000
C) $150,000
D) $250,000
Answer: C
Rationale: Applicants must affirm a net worth of at least **$150,000**. If they cannot, they may apply
for a Limited Tier license with $25,000 net worth .
5. Under OSHA 29 CFR 1926.501, at what height is fall protection required for most construction
activities?
A) 4 feet
