1 | Page
Builders Final Exam ( Updated 2025 ) 1 100
Complete Questions & Answers (Solved)
100% Correct
What is the cost for the individual builder's license? -
✔ANASWER✔-$195
What is the first offense penalty for engaging in the practice of
residential building without a license? -
✔ANASWER✔-not less than $5,000 and not more than
$25,000 and/or one year
What is the penalty for engaging in the practice of residential
builders license, resulting in a death? -
✔ANASWER✔-not less than $5,000 and not more than $25,000
and/or four years
on your individual builder's license application, what should you
write as your "business address"? - ✔ANASWER✔-Your
personal address
,2 | Page
After receiving your residential builder's license, what are the
only trades not covered by your license? - ✔ANASWER✔-
Plumbing, electrical, and HVAC
Who is the TESTING company for the State of Michigan? -
✔ANASWER✔-PSI
What is the name of the department that regulates your license? -
✔ANASWER✔-LARA
Before you may test you must - ✔ANASWER✔-present two
valid forms of identification
In order to schedule your test with PSI you may -
✔ANASWER✔-Schedule online, by mail, fax or phone
When will you receive your test score? - ✔ANASWER✔-as
soon as you complete the test
,3 | Page
What are the 2 parts of the Residential Builder Examination? -
✔ANASWER✔-Business and Law examination/Practice and
Trade examination
How long will you have to complete the Practice and Trade
portion of the exam? - ✔ANASWER✔-180 Minutes
What is a quick asset ratio? - ✔ANASWER✔-1 to 1
Under the Carpentry section of the test, what does a "span table"
tell us? - ✔ANASWER✔-what species and what grade of
lumber a floor joist has to be to span a certain distance
Which of the following topics will be covered on the exam? -
✔ANASWER✔-Carpentry, Roofing, Insulation
Which is NOT a reason that you need a residential business
license? - ✔ANASWER✔-It allows you to work on commercial
properties
Where does most fraud occur? - ✔ANASWER✔-in the
residential market
, 4 | Page
As a builder, your licence falls under the regulation of -
✔ANASWER✔-Both rules by the director and board as well as
laws of the state of Michigan
What is the make up of the 9 members of the board? -
✔ANASWER✔-6 individuals that have a licence or registration
in the occupation in which the board monitors and 3 members of
the general public
Under the definition of occupational code, what does the word
"limitation" refer to? - ✔ANASWER✔-a condition, stricture,
restraint or probation attached to a license relative to the scope
of practice
Who, upon completion of a hearing, shall assess a penalty or
penalties? - ✔ANASWER✔-the board
If you fail to renew your license or registration on or before the
expiration date, how many days do you have to resubmit with
the proper payment and late fee? - ✔ANASWER✔-60 days
Builders Final Exam ( Updated 2025 ) 1 100
Complete Questions & Answers (Solved)
100% Correct
What is the cost for the individual builder's license? -
✔ANASWER✔-$195
What is the first offense penalty for engaging in the practice of
residential building without a license? -
✔ANASWER✔-not less than $5,000 and not more than
$25,000 and/or one year
What is the penalty for engaging in the practice of residential
builders license, resulting in a death? -
✔ANASWER✔-not less than $5,000 and not more than $25,000
and/or four years
on your individual builder's license application, what should you
write as your "business address"? - ✔ANASWER✔-Your
personal address
,2 | Page
After receiving your residential builder's license, what are the
only trades not covered by your license? - ✔ANASWER✔-
Plumbing, electrical, and HVAC
Who is the TESTING company for the State of Michigan? -
✔ANASWER✔-PSI
What is the name of the department that regulates your license? -
✔ANASWER✔-LARA
Before you may test you must - ✔ANASWER✔-present two
valid forms of identification
In order to schedule your test with PSI you may -
✔ANASWER✔-Schedule online, by mail, fax or phone
When will you receive your test score? - ✔ANASWER✔-as
soon as you complete the test
,3 | Page
What are the 2 parts of the Residential Builder Examination? -
✔ANASWER✔-Business and Law examination/Practice and
Trade examination
How long will you have to complete the Practice and Trade
portion of the exam? - ✔ANASWER✔-180 Minutes
What is a quick asset ratio? - ✔ANASWER✔-1 to 1
Under the Carpentry section of the test, what does a "span table"
tell us? - ✔ANASWER✔-what species and what grade of
lumber a floor joist has to be to span a certain distance
Which of the following topics will be covered on the exam? -
✔ANASWER✔-Carpentry, Roofing, Insulation
Which is NOT a reason that you need a residential business
license? - ✔ANASWER✔-It allows you to work on commercial
properties
Where does most fraud occur? - ✔ANASWER✔-in the
residential market
, 4 | Page
As a builder, your licence falls under the regulation of -
✔ANASWER✔-Both rules by the director and board as well as
laws of the state of Michigan
What is the make up of the 9 members of the board? -
✔ANASWER✔-6 individuals that have a licence or registration
in the occupation in which the board monitors and 3 members of
the general public
Under the definition of occupational code, what does the word
"limitation" refer to? - ✔ANASWER✔-a condition, stricture,
restraint or probation attached to a license relative to the scope
of practice
Who, upon completion of a hearing, shall assess a penalty or
penalties? - ✔ANASWER✔-the board
If you fail to renew your license or registration on or before the
expiration date, how many days do you have to resubmit with
the proper payment and late fee? - ✔ANASWER✔-60 days
