VA CONTRACTORS LICENSE EXAM
CLASS A OR B WITH 200 QUESTIONS
AND CORRECT VERIFIED ANSWERS/
VA GENERAL CONTRACTORS LICENSE
TEST 2024/2025 (NEWEST!)
An insurer offers the contractor a 20% per year reduction in premiums if the
contractor has a defied safety program in place. The insurer's standard rates are $8
per $1,000 of coverage. The contractor has $300,000 in coverage. How much in
premiums will the contractor save a 3-year period by having a defined safety
program in place? - ANSWER-Between $1,001 and $1,500
What is the gross pay of a non-exempt employee who works 45 hours during a
holiday week, and receives 8 hours additional pay for the holiday? The employee
earns $12.50 per hour. - ANSWER- $693.75
A contractor pays a workers' compensation rate of $0.08 per $100 of office
employee payroll, $0.15 per $100 of field supervisor payroll, and $0.26 per $100
of field employee payroll. Total office employee payroll for the year is $25,000.
Total field supervisor payroll is $48,000. Total field employee payroll is $225,000.
The contractor receives a discount of 5% of total premiums for having a safety
program in place. The total workers' compensation for the year is... - ANSWER-
More than $600
A permit is obtained on Friday, May 1. The materials are to be delivered May 8.
The materials are needed when labor begins on May 11. It is estimated that 15 days
of labor are REQUIRED. The crew will work every day, including weekends and
holidays. The project is scheduled to be completed on June 8. How many float
days are available for the labor for this project? - ANSWER-13
pg. 1
,A contractor puts in a claim under a comprehensive standard general liability
policy. The policy has no additional coverage, riders, or floaters, and has a $500
deductible per occurrence. The claim is for a job-site accident that caused $2,000
of injuries to employees, $1,800 of injuries to a pedestrian, $2,300 damage to the
contractor's equipment, and $1,750 loss of project materials purchased by the
contractor. The insurance company is liable for... - ANSWER-$1,300
A contractor agrees to unit price contract to Product A for $50 per unit, Product B
for $50 per unit, and Product C for $375 per unit. The contractor is also to add 30%
for overhead and profit. How much should the contractor be paid for producing 27
units of Product A, 56 units of Product B and 78 units of Product C? - ANSWER-
Between $40,000 and $45,000
A contract calls for liquidated damages of $500 per day. The project completed
five days late because it was delayed by rain. The completion would have been ten
days earlier if it were not for the rain delay. There was a $500 bonus per day for
the contractor for early completion. No extension of time was requested or granted.
How much does the contractor earn or owe? - ANSWER-Owes $2,500 in
Liquidated damages
A lump sum contract on a project has a total contract price of $160,000. Retainage
has been held back at 10%. The contractor has received progress payments for
75% of the project. The contractor submits a request for final payment for the new
completed project. The final payment amount should be for... - ANSWER-More
than $50,000
Given the following information, what is the firm's debt to equity ratio?
- Current Assets: $80,000
- Fixed Assets: $112,000
pg. 2
,- Current Liabilities: $30,000
- Inventory: $12,000
- Long Term Liabilities: $86,000
- Net Annual Income: $57,000 - ANSWER-1.53
Given the following information, what is the firm's quick ratio?
- Current Assets: $80,000
- Fixed Assets: $112,000
- Current Liabilities: $30,000
- Inventory: $12,000
- Long Term Liabilities: $86,000
- Net Annual Income: $57,000 - ANSWER-2.27
Given the following information, what is the firm's return on investment?
- Current Assets: $80,000
- Fixed Assets: $112,000
- Current Liabilities: $30,000
- Inventory: $12,000
- Long Term Liabilities: $86,000
- Net Annual Income: $57,000 - ANSWER-29.7%
What is the total value of current assets for an accrual basis company that has the
following? Checking account cash balance is $4,800; materials inventory for work-
in-progress is $4,200; a pick-up truck that cost $12,460- paid for with $2,460 in
pg. 3
, cash and a note for $10,000- and is used 100% in the business; accounts receivable
is $5,700; suppliers' accounts payable is $6,300; other accounts payable is $2,200;
and quarterly income tax payment due is $1,180... - ANSWER-Between $12,000
and $16,000
What is the total project overhead for a project that lasts 3 months and has the
following costs? Labor is $4,000; materials are $9,500; equipment rentals are
$1,200; superintendent's annual salary is $36,000; office rent is $800 per month;
and office utilities are $375 per month. - ANSWER-Less than $12,000
For 1 month a company bills out $38,000 in completed work, and receives $22,000
in payments plus $8,000 from the previous month's billings. They pay their total
bill of $26,000 to supply houses for this month's purchases, and another $5,000 to
supply houses for last month's purchases. Using a cash accounting method and
NOT considering any other revenue or expenses, what is the company's net income
for the month? - ANSWER-Loss of $1,000
The owner requests for change which will cost the contractor $15,000 in labor and
materials and $2,250 in overhead costs. With the change, the contractor would be
relieved of $18,000 in labor and materials costs, and $2,400 in overhead costs from
the original contract. The original bid included profit of 20% of all costs. The
contractor wants to make a profit of 20% of all costs on the changes. The adjusted
contract price for the change order should be... - ANSWER-A decrease of $3,780
Which of the following would typically be covered by a contractor's
comprehensive general liability insurance policy? - ANSWER-Damage to
adjoining property from a crane accident
What is the total gross compensation and employment status for a carpenter, given
the following information? A contractor hires a carpenter to do the finish work for
a 10-home project. The carpenter is to be paid $16 per hour. The contractor
provides all materials and equipment, such as a table saw. The carpenter provides
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