1
NAVADA CONSTRUCTION BUSINESS AND LAW MANUAL EXAM
LATEST VERSION -2025/2026- 100+ QUESTIONS AND VERIFIED
ANSWERS ALL THE BEST
Sole Proprietorship (pg 4)
The simplest form of business organization, in which the owner is the business.
The owner reports business income on his or her personal income tax return
through a Schedule C and is legally responsible for all debts and obligations
incurred by the business.
The Secretary of State (pg 3)
Corporations, Limited Liability Company (LLC), or Limited Partnerships file
information with the state, typically....
General Partnership (pg 5)
MBE (pg 3 )
Minority Business Enterprise
MBE Requirements (pg 3)
Company owned at least 51%, driver's license to prove ethnicity, financial info to
prove independence from any non-minority, and a history of work in the area of
certification, including proof that the minority is the license holder and the
qualifier for the company
Corporation, Limited Liability Company (LLC), or Limited Partnership (pg 3)
In most states, businesses choose to declare themselves a....
partnership in which partners share equally in both responsibility and liability.
Partnership is based on written agreement
Joint Venture (pg 5)
, 2
A general partnership is typically formed to carry out a particular business
transaction or project rather than one intended to continue indefinitely.
Limited Partnership (pg 5)
One or more general partners manage the business while limited partners who
assume no active role in running the business, contribute capital and share the
profits.
General Partners (pg 5)
Manage the business in a Limited Partnership
Limited Partner (pg 5 & 6)
Has no active role running the business but contribute capital and share in the
profits in a Limited Partnership. Encourages investors to invest while limiting their
risk to the capital they have contributed.
Limited Partnership (pg. 5)
is a separate legal entity that does not pay income tax on its annual taxable
income. Rather, taxable income is passed through to the owners who pay the
taxes on their individual tax returns.
S-Corporation ( pg 7)
Profits and losses are passed through the corporation and are then reported on
the individual tax returns of the shareholders who own the business. Same basic
pass-through treatment given to partnerships.
Operating Agreement (pg 7)
Legal document that defines the roles, rights, and responsibilities of the members
(owners), and sets the rules for how the company is managed and how decisions
are made.
Main Headings of Business Plan (pg 10)
Description and Goals of the Business; Markets and Marketing; Finances; and,
Management.
, 3
License holder (pg 11)
Contractor's Board will have the _______________ responsible for all
construction, business and financial activities related to contracting.
Reciprocity (pg 11)
a licensee who has been disciplined for an activity in one jurisdiction could also be
restricted by another Jurisdiction.
What is one responsibility of a Project Manager regarding the project budget?
Preparing and overseeing the project budget
What is one responsibility of a Project Manager regarding the production
schedule?
Preparing and overseeing the production schedule
What does a Project Manager submit related to financials?
Submitting pay reports
What is a task that involves changes in a project?
Handling change orders
What is required for the construction process that a Project Manager acquires?
Acquiring shop drawings
What is one duty of a Project Superintendent? (pg 15)
Being responsible for on-site activities, including quality control.
What is another duty of a Project Superintendent? (pg 15)
Supervising workers.
What is the responsibility of a Project Superintendent regarding subcontractors?
(pg 15)
Coordinating work with subcontractors and utility companies.
NAVADA CONSTRUCTION BUSINESS AND LAW MANUAL EXAM
LATEST VERSION -2025/2026- 100+ QUESTIONS AND VERIFIED
ANSWERS ALL THE BEST
Sole Proprietorship (pg 4)
The simplest form of business organization, in which the owner is the business.
The owner reports business income on his or her personal income tax return
through a Schedule C and is legally responsible for all debts and obligations
incurred by the business.
The Secretary of State (pg 3)
Corporations, Limited Liability Company (LLC), or Limited Partnerships file
information with the state, typically....
General Partnership (pg 5)
MBE (pg 3 )
Minority Business Enterprise
MBE Requirements (pg 3)
Company owned at least 51%, driver's license to prove ethnicity, financial info to
prove independence from any non-minority, and a history of work in the area of
certification, including proof that the minority is the license holder and the
qualifier for the company
Corporation, Limited Liability Company (LLC), or Limited Partnership (pg 3)
In most states, businesses choose to declare themselves a....
partnership in which partners share equally in both responsibility and liability.
Partnership is based on written agreement
Joint Venture (pg 5)
, 2
A general partnership is typically formed to carry out a particular business
transaction or project rather than one intended to continue indefinitely.
Limited Partnership (pg 5)
One or more general partners manage the business while limited partners who
assume no active role in running the business, contribute capital and share the
profits.
General Partners (pg 5)
Manage the business in a Limited Partnership
Limited Partner (pg 5 & 6)
Has no active role running the business but contribute capital and share in the
profits in a Limited Partnership. Encourages investors to invest while limiting their
risk to the capital they have contributed.
Limited Partnership (pg. 5)
is a separate legal entity that does not pay income tax on its annual taxable
income. Rather, taxable income is passed through to the owners who pay the
taxes on their individual tax returns.
S-Corporation ( pg 7)
Profits and losses are passed through the corporation and are then reported on
the individual tax returns of the shareholders who own the business. Same basic
pass-through treatment given to partnerships.
Operating Agreement (pg 7)
Legal document that defines the roles, rights, and responsibilities of the members
(owners), and sets the rules for how the company is managed and how decisions
are made.
Main Headings of Business Plan (pg 10)
Description and Goals of the Business; Markets and Marketing; Finances; and,
Management.
, 3
License holder (pg 11)
Contractor's Board will have the _______________ responsible for all
construction, business and financial activities related to contracting.
Reciprocity (pg 11)
a licensee who has been disciplined for an activity in one jurisdiction could also be
restricted by another Jurisdiction.
What is one responsibility of a Project Manager regarding the project budget?
Preparing and overseeing the project budget
What is one responsibility of a Project Manager regarding the production
schedule?
Preparing and overseeing the production schedule
What does a Project Manager submit related to financials?
Submitting pay reports
What is a task that involves changes in a project?
Handling change orders
What is required for the construction process that a Project Manager acquires?
Acquiring shop drawings
What is one duty of a Project Superintendent? (pg 15)
Being responsible for on-site activities, including quality control.
What is another duty of a Project Superintendent? (pg 15)
Supervising workers.
What is the responsibility of a Project Superintendent regarding subcontractors?
(pg 15)
Coordinating work with subcontractors and utility companies.
