Free Law and Business Exam - California.USTradeTest.com

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1.

On public works, the total retention withheld may not exceed ______ of the contract price.

5%

10%

15%

25%

2.

A licensed general contractor enters into a contract with an unlicensed subcontractor. Who is in violation of the law if the work performed requires a contractor's license?

the general contractor

both the general contractor and the subcontractor

only the subcontractor if the general was not informed that he or she was unlicensed

neither the general contractor not the subcontractor

3.

A subcontractor signs an Unconditional Waiver and Release upon final payment. This means that the:

subcontractor can request additional payment only from the owner.

owner may not ask the subcontractor to correct any defects in materials or workmanship.

subcontractor may receive additional payment only from the prime contactor.

subcontractor has waived any lien, stop payment notice, or payment bond rights.

4.

If the plans and specifications for a job are vague or lack details, contactors should:

reject the job.

take the job and try their best to interpret the plans and specifications.

consult an independent architect or engineer

review the plans and specifications with the owner.

5.

If your subcontractor orders materials that do not arrive when due, which of the following would not be considered a valid excuse?

Delay by supplier because of high seasonal demand.

Truck breaks down.

Architect's neglect.

Bad weather.

6.

You would go to a District Court:

for a case involving federal law.

when constitutional issues are involved.

for an interstate dispute.

all of the above.

7.

If an employee violates a safety rule and causes injury to another employee, who is legally responsible?

The employee who violated the safety rule.

The employee who violated the safety rule and the employer.

The employer.

None of the above.

8.

On a large job, which of the following would be the best scheduling method?

bar chart scheduling

critical path method (CPM)

calendar scheduling

punch list

9.

Truth in Lending Act rescission rights apply when:

any loan is signed for any home improvement work.

the dollar amount of the contract exceeds $20,000.

a home improvement salesperson procured the contract.

a non-purchase lien or security interest is taken in the consumer's principal dwelling.

10.

Which of the following statements about advertising is correct?

All advertisements must include the contractor's name, address, and telephone number.

The address of the CSLB must be on all advertising.

A contractor must have a license number to advertise.

A contractor's license number must be on all forms of advertising.