Business organisation, estimating and bidding, contracts, project management, financial management, and tax and labour law for contractor licence exams.
160 questions · 6 topics · free, no sign-up
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Mixed practice test
10 questions, graded as you go, with the reason for every answer. No sign-up.
Two contractors form a general partnership. One partner signs a supply contract for a partnership job and the bill goes unpaid. Who can the supplier collect from?
Only the partner who signed the contract
The partnership and either partner personally
Only the partnership's own bank accounts and equipment
Each partner, but only for half of the bill
Show the answer
B. The partnership and either partner personally
Each general partner is an agent of the partnership and is personally liable for partnership debts, so the supplier can pursue the firm and either partner for the full amount. Liability is not limited to the signing partner or split in halves as far as the creditor is concerned.
Reference: Uniform Partnership Act: general partner agency and joint and several liability
Which statement describes a cost-plus-fee contract?
The owner pays one fixed price regardless of the actual costs incurred
The owner pays a set price for each measured unit of work
The owner pays only after a certificate of occupancy is issued
The owner reimburses actual costs and pays the contractor a fee
Show the answer
D. The owner reimburses actual costs and pays the contractor a fee
In a cost-plus contract the owner pays the documented cost of the work plus a fixed or percentage fee for overhead and profit, so the owner carries the cost risk. A fixed price regardless of cost is a lump-sum contract.
Reference: Contract types: cost-plus-fee contract
How many cubic yards of concrete are needed for a slab 40 ft long, 30 ft wide and 6 in. thick? Do not add waste.
Answer in cubic yards.
Show the answer
22.22 cubic yards
Thickness = 6 in. = 0.5 ft. Volume = 40 x 30 x 0.5 = 600 cu ft. 600 / 27 = 22.22 cu yd.
Reference: Estimating principles: volume takeoff, 27 cu ft per cu yd
A contractor's balance sheet shows current assets of $450,000 and current liabilities of $300,000. What is the current ratio?
Answer in ratio (to 1).
Show the answer
1.5 ratio (to 1)
Current ratio = current assets / current liabilities = $450,000 / $300,000 = 1.5.
Reference: Financial analysis: current ratio
In CPM scheduling, what is total float?
Time an activity can slip without delaying project completion
Time added to the contract period for bad weather during the job
Time between ordering a material and its delivery to site
Time the owner takes to review each application for payment
Show the answer
A. Time an activity can slip without delaying project completion
Total float is the amount an activity can be delayed without pushing back the project finish date. Activities on the critical path have zero float. The gap between ordering and delivery is lead time.
Reference: Scheduling principles: total float
Exams this helps with
Exam
Who runs it
Where
Contractor business and law
State boards, NASCLA
United States (varies by state)
NASCLA accredited commercial general building contractor