7/10/25, 4:20 PM Michigan Residential Builder Licensing Exam (2025 updated) QUESTIONS AND ANSWERS (DETAILED & ELABORATED) fully sol…
Michigan Residential Builder Licensing Exam
(2025 updated) QUESTIONS AND ANSWERS
(DETAILED & ELABORATED) fully solved
Save
Terms in this set (150)
A = Carpentry
B = Concrete
D = Excavation
G = Insulation Work
M&A contractors include:
I = Masonry
J = Painting & Decorating
K = Siding
M = Roofing
If more than one office is Licensed
used for work, the branch
office must be __________
The one who obtains the Qualifying Officer
residential builder's
license is called a
_____________ ____________
First Offense for practicing Misdemeanor fine of $5,000 - $25,000
without a license or prison for not more than 1 year, or both.
Second offense for Misdemeanor fine of $5,000 - $25,000
practicing without a or prison for not more than 2 years, or both.
license
https://quizlet.com/1059542699/michigan-residential-builder-licensing-exam-2025-updated-questions-and-answers-detailed-elaborated-fully-solved-fl… 1/21
,7/10/25, 4:20 PM Michigan Residential Builder Licensing Exam (2025 updated) QUESTIONS AND ANSWERS (DETAILED & ELABORATED) fully sol…
Felony fine of $5,000 - $25,000 or prison for not more
Death or serious injury
than 4 years, or both.
A person or entity who is involved in the construction
Define a Residential
of a residential structure or a combination residential
Builder
and commercial structure.
Person who for a fixed sum/price other than wages
for personal labor for the repair, alteration, or
Define M&A contractor
addition/improvement to residential/commercial or
residential structure.
employee of agent other than a qualifying officer who
Salesperson
sells business for the contractor.
who reissues licenses for LARA (The Department)
salespeople?
Which types of trade work Plumbing, Electrical, and Mechanical.
require a different type of
license other than the resi
license?
Who issues the license? LARA
How is the director of by the governor
LARA appointed?
What types of people 4 Licensed residential builders
make up the Board of 2 M&A contractors
Residential Builders? 3 members of the public
1. Interpretation of a license requirement
What are the duties of the 2. Aid in investigations
board of residential 3. Set acceptable practice standards
builders? (4) 4. Assess penalties for those who are licensed and are
in violation of rules
What happens if the The entity's license is revoked as well.
qualifying officer's license
is revoked?
https://quizlet.com/1059542699/michigan-residential-builder-licensing-exam-2025-updated-questions-and-answers-detailed-elaborated-fully-solved-fl… 2/21
, 7/10/25, 4:20 PM Michigan Residential Builder Licensing Exam (2025 updated) QUESTIONS AND ANSWERS (DETAILED & ELABORATED) fully sol…
How can a foreign entity Only if authorized by the Corporations and Securities
get a license? Commission.
Non residents must file An Irrevocable consent to service of process
this to be considered for a
license.
T or F, Builders must True
maintain a place of
business in the state they
operate in.
T of F, Contractors must True
maintain an accurate set of
books/records open to
inspection by the
department (LARA).
If the department inquires, sworn financial statements
licensees must submit
___________ _____________ ___________
showing licensee's current
financial status, and must
do so within 30 days of
inquiry.
T or F, Advertising must True
not misrepresent material
facts.
Licensee shall include name, license number, and actual business address
____________, _______________, and
________________ in all
advertising
Is it legal to pay money or No.
give gifts to customers in
exchange for the use of
their home as a model for
potential clients?
https://quizlet.com/1059542699/michigan-residential-builder-licensing-exam-2025-updated-questions-and-answers-detailed-elaborated-fully-solved-fl… 3/21
Michigan Residential Builder Licensing Exam
(2025 updated) QUESTIONS AND ANSWERS
(DETAILED & ELABORATED) fully solved
Save
Terms in this set (150)
A = Carpentry
B = Concrete
D = Excavation
G = Insulation Work
M&A contractors include:
I = Masonry
J = Painting & Decorating
K = Siding
M = Roofing
If more than one office is Licensed
used for work, the branch
office must be __________
The one who obtains the Qualifying Officer
residential builder's
license is called a
_____________ ____________
First Offense for practicing Misdemeanor fine of $5,000 - $25,000
without a license or prison for not more than 1 year, or both.
Second offense for Misdemeanor fine of $5,000 - $25,000
practicing without a or prison for not more than 2 years, or both.
license
https://quizlet.com/1059542699/michigan-residential-builder-licensing-exam-2025-updated-questions-and-answers-detailed-elaborated-fully-solved-fl… 1/21
,7/10/25, 4:20 PM Michigan Residential Builder Licensing Exam (2025 updated) QUESTIONS AND ANSWERS (DETAILED & ELABORATED) fully sol…
Felony fine of $5,000 - $25,000 or prison for not more
Death or serious injury
than 4 years, or both.
A person or entity who is involved in the construction
Define a Residential
of a residential structure or a combination residential
Builder
and commercial structure.
Person who for a fixed sum/price other than wages
for personal labor for the repair, alteration, or
Define M&A contractor
addition/improvement to residential/commercial or
residential structure.
employee of agent other than a qualifying officer who
Salesperson
sells business for the contractor.
who reissues licenses for LARA (The Department)
salespeople?
Which types of trade work Plumbing, Electrical, and Mechanical.
require a different type of
license other than the resi
license?
Who issues the license? LARA
How is the director of by the governor
LARA appointed?
What types of people 4 Licensed residential builders
make up the Board of 2 M&A contractors
Residential Builders? 3 members of the public
1. Interpretation of a license requirement
What are the duties of the 2. Aid in investigations
board of residential 3. Set acceptable practice standards
builders? (4) 4. Assess penalties for those who are licensed and are
in violation of rules
What happens if the The entity's license is revoked as well.
qualifying officer's license
is revoked?
https://quizlet.com/1059542699/michigan-residential-builder-licensing-exam-2025-updated-questions-and-answers-detailed-elaborated-fully-solved-fl… 2/21
, 7/10/25, 4:20 PM Michigan Residential Builder Licensing Exam (2025 updated) QUESTIONS AND ANSWERS (DETAILED & ELABORATED) fully sol…
How can a foreign entity Only if authorized by the Corporations and Securities
get a license? Commission.
Non residents must file An Irrevocable consent to service of process
this to be considered for a
license.
T or F, Builders must True
maintain a place of
business in the state they
operate in.
T of F, Contractors must True
maintain an accurate set of
books/records open to
inspection by the
department (LARA).
If the department inquires, sworn financial statements
licensees must submit
___________ _____________ ___________
showing licensee's current
financial status, and must
do so within 30 days of
inquiry.
T or F, Advertising must True
not misrepresent material
facts.
Licensee shall include name, license number, and actual business address
____________, _______________, and
________________ in all
advertising
Is it legal to pay money or No.
give gifts to customers in
exchange for the use of
their home as a model for
potential clients?
https://quizlet.com/1059542699/michigan-residential-builder-licensing-exam-2025-updated-questions-and-answers-detailed-elaborated-fully-solved-fl… 3/21
