NASCLA Contractors Guide Arkansas 5th edition with Complete Solutions 100% Correct | 2024, Exams of Advanced Education

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NASCLA Contractors Guide Arkansas

5th edition with Complete Solutions

100% Correct | 2024

How many members of the board are consumers? - Correct Answer- what laws secure the right of employees to decide if they wish to support or join a union? - Correct Answer-right to work __________ is anything of value - Correct Answer- Consideration which of the following establishes an employee's eligibility to leagally work in the united states? - Correct Answer-Social Security Card which of the following should not be tolerated at a job site? - Correct Answer-foul language

enployers engage in building repair work with __________or more employees are required to carry workers compensation

• Correct Answer- If an employee earns 112,000 per year, what is the total amount of FICA to be paid in? - Correct Answer-15, (112,000 X 2.9=3,248 (total medicare) 102,000 X 12.4=12, (total social security) 12,648+3,248=15, which of the following iteams are not added after estimating materials and labor? - Correct Answer-material consumption which is not a purpose of marketing - Correct Answer-open a check account which of the following establishes an employee's identity to leagally work in the United States? - Correct Answer-Drivers License What is the return on total assets if there is a net profit (after taxes) or 16,000 and total assets of $48,000? - Correct Answer- 1/3 (chapter 14-7)

all of the following are part of bid documents, Bid form , invitation to Bid, and Addenda except - Correct Answer-Form of Agreement Which of the following is not used to pay taxes - Correct Answer-W A sole proprietor is taxed on _______? - Correct Answer- ordinary income How many years have to pass when a license expires to be determined nil? - Correct Answer- The purpose of workers compensation is to allow for monetary compensation when an employee is? - Correct Answer-injured from work _________ is a provision written into contract that is used to limit risk in case of labor strikes? - Correct Answer-Force majeure New applications for licensure must have______the net worth? - Correct Answer-1/

An EAP is required for to be in writting for ______ employees or more? - Correct Answer- What form is used to report FUTA taxes? - Correct Answer- When handling change order, one should always do the following except?(invoice change order work immediately, included complimentary work done without charge, show labor and quantity details) - Correct Answer-signed change order is not required State umemployment tax reports are dueby ____? - Correct Answer-January 31 Generally, which of the following is not a business tax? ( employment tax, self- employment tax, income tax are) - Correct Answer-property tax What is a quick ratio (or acid test ratio) for company that hascurrent assets of $28,000, inventory of $4,000, and current liabilities of $6,000? - Correct Answer-4/1 ( chapter 14-6 )

A management team for a limited partnership consists of? - Correct Answer-General Partners What type of financial statement is used to establish revenues and expenses over a period of time? - Correct Answer-income statement Which of the following is not a member of the supervisory team? - Correct Answer-project manager How much will a license pay if they file a renewal within 30 days after expiration? - Correct Answer-$ The construction industry payment protection act of 1999 states ____________ - Correct Answer-payment bond protections are void before work begins All but which of the following is a guideline for job description? (SKA, Certificates, responsibilities are) - Correct Answer-insuranse

What is a bill overage/ deficiency when there are cumulative earnings of $90,000 and the amount billed to date is $55,000 - Correct Answer-$35,000 ( Chapter 14-8) If subcontractor laborer earns $600 or more what form is used? - Correct Answer- Umemployment insurance is for employees who have been__________ - Correct Answer-laid off The owner requests for changes which will cost the contractor $16,000 in labor and materials and $3,250 in overhead costs. With the change, the contractor would be relieved of $19, in labor and materials costs, and $3,400 in overhead costs from the original contract. The original bid included a profit of 20% of all costs on the changes. The adjusted contract price for the change order should be? - Correct Answer-A decrease of $3780 (16,000+3250=19250 changes, 19000+3400= orginal amount, 22400-19250=3150*20%=630+3150=3780) Action to forclose on a lien must begin with ______ monthsafter the lien id filed? - Correct Answer-

Which of the following does pertain to bid shopping? - Correct Answer-contractor reveals original bid Who pays into workers compensation? - Correct Answer- employer If D &K construction wanted to limit their liabilities, they shouls become a(n)? - Correct Answer-C corperation Establishing _____________ will ensure that your customer is aware of your progress and any concerns that might arise? - Correct Answer-communication If an employee earns $31,000 per year, what is the amount of FICA that the business pays on the employee? - Correct Answer-2371.50 (6.2+1.45%=7.65, 3100*7.65=2371.50) What is the purpose of just in time deliveries? - Correct Answer-profit high, vandalism low Which of the following forms should you record injury or illness when a physisican or other licensed health care professional recommends that the worker stay at home but

the worker decides to come to work anyways? - Correct Answer-OSHA 300 Which of the following is not an obligation by the contractor? ( complete work according to plans, secure appropriate building permits, keeping job site safe) - Correct Answer-does not approval of all plans The first step in the accounting process is _______? - Correct Answer-bookkeeping There are _____ consecutive hours to a work week? - Correct Answer- S corporation taxes are recognized as _______wages? - Correct Answer-pass through wages A contractor may remain on inactive status for a period of time not to exceed _____ consecutive years? - Correct Answer- When working in a dwelling that was built before 1978 the employeer is to provide each occupant with a pamphlet

titled? - Correct Answer-Protect your family from lead in your home Which of the following is not one ofthe three key functions of a business plan? - Correct Answer-Tax documentation When negotiating one should __________ - Correct Answer- aim high A ___________ bundles all cost factors for the entire task - Correct Answer-unit price method Which is not reconginized as effective time management? - Correct Answer-deferment Arkansas has reciprocal agreements with all of the following states except - Correct Answer-Georgia Which of the following laws establishes the basic structure for regulating discharges of pollutants in the waters of the Untied States - Correct Answer-Clean water

Medicare will help defray hospital cost when an individual turns _____ years of age? - Correct Answer- A _____ is based on calculation based on footage multiplied by unit cost - Correct Answer-square-foot-method FOB freight prepaid requires ____ to pay shuipping charges - Correct Answer-seller for short term job, the best option is to ____ equipment - Correct Answer-rent When determining activity duration, it is important to have imput from which of the following - Correct Answer- employees ________ is the change in hearing threshold relative to the baseline auidiogram for the employee, of an average of 10 decibles - Correct Answer-standard threshold shift Failure to abate prior OSHA violators has a penalty amount not to exceed _____ for each day the violation continues - Correct Answer-7,

depreciation is considered a ____ expanse? - Correct Answer- non-cash Which is not an advantage to a partnership? - Correct Answer- multiple decision makers What is used when sales is charged to a customer or whencash comes in? - Correct Answer-cash receipts and sales journal When is the deadline for filing copy A of form 1096 - Correct Answer-Feb 28 Which authority regulates clean water act? - Correct Answer- EPA All businesses must file an annual income tax return except? - Correct Answer-partnership which is bank letter of credit - Correct Answer-cash garantee

Which of the following is not the key elements to a contract?- acceptance, offer, consideration are - Correct Answer-Counter offer is the time remaining after a task has been complet - Correct Answer-float time The ______ requires performance and payment bonds on federal jobs? - Correct Answer-Miller act What is the minimum wage for individuals under the age of 20 during their first 90 consecutive days - Correct Answer-4. __________ shows the activity of duration and sequence of tasks to be completed? - Correct Answer-bar chart corporations must file a franchise tax report - Correct Answer- annually business ethic begins with the - Correct Answer-Manager

Which of the following is not consideration as acceptance to a contract- date, consideration, signature are - Correct Answer- but not counter offer When using the _______ the contractor is reimbused for actual cost of labor and material. the contractor adds a markup fee for overhead and profit - Correct Answer-cost plus method A contractor is going to purchase the following from the local hardware store, 15 feet 1/2 schedule 40 PVC at .50per foot, 30 feet 1inch schedule 40 PVC at .90 per foot, 10 feet 2-inch schedule 40 PVC at 1.50 per foot. What is the lowest possible cost assuming the terms are 3 % /10 net 30? - Correct Answer- 48.01 (15.50=7.50, 30.90=27.00,101.50=15.00, so 7.50+27.00+15.00=49.50 then 49.50.03=1.49 discount, 49.50- 1.49=48.01 answer) delegating provides for all but the following, it does develop employees, accomplish tasks, concentrate stragically but does not - Correct Answer-I can do it all method which of the following is the purpose of a business plan? - Correct Answer-establish goals

a contractors license is required for any project of _______ or more - Correct Answer-50, If a contractor is guilty of a misdomeaner, how much of a maximumpenalty can occur? - Correct Answer- Which of the following financial statements is comprised of assets and liabilities? - Correct Answer-Balance sheet where would depreciation of equipment be first entered? - Correct Answer-general journal A penalty can occur for a contractor not to exceed how much of the total project being preformed? - Correct Answer-3% A job has adirect cost of 198,325, project overhead of 9.2%, company overhead of 13.9%, and a desired profit of 10.7%, What will be the correct bid? - Correct Answer-299, (9.2+13.9+10.7=33.8 which meand direct cost are 66.2 of the bid so 198,325/.662=299,584)

A federal job a performance bond usually _____ percent of the contract price - Correct Answer- What is the net income, when there is an income of 92,000, expanses of 24,000, and cost of goods sold of 34,000 - Correct Answer-34,000 (chapter 14-4) When the quarter ends March 31st, FUTA taxes must be paid by? - Correct Answer-April 30th If one is to recive earned income credit, one should use which IRS form? - Correct Answer-W- When conflict exists between plans and specifications, one must follow _______ - Correct Answer-restrictive of specs codes Petty cash is used to make _____ payments - Correct Answer- small OSHA records must be kept by employeers if more than _____ employees - Correct Answer-

A job is estimated to cost 1 million dollars, however two companies have a cap of 50,000, they can leagally do this job if they? - Correct Answer-joint venture What form is used to report FUTA taxes? - Correct Answer- In the event of a faulty contractor, the surety may do all but this, they can pay out amount of bond, they can arrange for hiring a new contractor, and they can provide additional financing but not - Correct Answer-cancel the project A partnership is? - Correct Answer-A relationship between 2 or more people What is the liquidity ratio (or current ratio) when there are currents assets of 15,000 and current liabilities of 3,000? - Correct Answer-5/1 (chapter 14-6) Which of the following is excluded from "reasonable accommodations" - Correct Answer-undue hardship

Which is not a key characteristic of a partnership? they do keep separate bank accounts, maybe orally committed, all owners have personal liabilties - Correct Answer-continuance of organization in case of death of the partner Typically a balance sheet is defined as which? - Correct Answer-Assets= Liabilities + Owners Equity When filing a bond, the purposeis outlined in the language for _____? - Correct Answer-common law bonds Which is an exclusive to an advantage of a sole proprieter? - Correct Answer-limited personal responsability Which of the following is not an advantage to equipment ownership? - Correct Answer-Obsolete equipment is returned to the owner Which of the following is not a business tax? - Correct Answer- property tax

Which of the following is NOT a form of workers compensation provided by Arkansas? - Correct Answer- property improvments Professional liability insurance is used for which of the following - Correct Answer-errors If an employee earns 10 per hour and worked 50 hours, how much is the over time premium? - Correct Answer- What is the bill overage/deficiancy when there are cummulative earnings of 90,000 and amount billed is 55,000? - Correct Answer-35,000 (chapter 14-8) of the following which is not considered the best way to maximize marketing potential? - Correct Answer-competitive advantages, my customers, growth oppertunities when is payment due? - Correct Answer-When punch list iteam are complete a new employer just begining in Arkansas is assigned a new employer rate of _____ percent and will remin at that rate

until three full years of benfit risk has beenestablished? - Correct Answer-3. how many individuals sit on the board? - Correct Answer- The first step in a job costing system is to provide for which - Correct Answer-cost code system the best contract used by the owner is the ____? - Correct Answer-lump sum A(n) ______________ is issued prior to the execution of a contract - Correct Answer-Addendum ________ is the type of insurance one would purchase for tools - Correct Answer-equipment theft For one month a company bills out 48000 in completed work, and receives 32000 in payments plus9000 from previous months billing. The pay their total bill for 36000 to supply houses for this month purchases, and another 6000 to supply houses for last months purchases. Using cash accounting method and NOT considering any other revenue or expenses,

what is the company net income for the month? - Correct Answer-Loss of 1000 ( 3200+9000=41000-36000=5000 so 5000- 6000=-1000) What is the name of the process when facilitator meets with the major participants in a project, prior to the commencement of theproject, to identify the shared goals of all participants? - Correct Answer-Partnering when determining taxes which form will help you? - Correct Answer-Circular E (Chapter 15-3) Which of the following is used to obtain an EIN? - Correct Answer-SS- Generally, employers must pay both state and federal unemployment taxes if? - Correct Answer-the pay wages to employees tataling 1500 or more in any quarter which of the following insuranses will protect an orginazation officers? - Correct Answer-DO

A contractor puts in a claim under comprehensive standard generalliabilty policy. The policy has no additional coverage, riders or floaters and has 600 deductable per occurance. The claim is for a job site accident that caused 3000 of injury to employess, 2800 of injury to a pedestrian , 3300damage to the the contractors equipment and 2750 loss of project materials purchased by the contractor. the insurance company is liable for? - Correct Answer-2200 (2800-600) a job direct cost 89000 the project overhead for the job is 11% and the company overhead is 9 % not including profit, what willthe bid be? - Correct Answer-111250 (11%+9%=20% overhead there for the direct cost are 805 OF THE BID 89000/.80=111,250) Which of the following does not apply to c corporation, it does availability of capital resourses, it does have transfer of ownership, it does have seperate legal entity - Correct Answer-IT DOES NOT HAVE LIMITED LIFE OF THE BUSINESS How long do the chair, vise chair and secretary serve? - Correct Answer-1 year

What is the maximum amount of share holders permitted within a S corporation is? - Correct Answer-75 A notice must be given by the contractor to the owner _____ days prior to the filing a lien against the owner? - Correct Answer-10 What is the bid for the following when there is a combined profit and overhead of 30%, 10 units at 75.00 each, 20 units at

200. each , 30 units at 290. each - Correct Answer-19,214 (1075=750,20200=4000, 30*290=8700, 750+4000+8700=13450/.70=19,214) how much is the renewal fee for license? - Correct Answer-50 Who is responsibilty to understand OSHA - Correct Answer- employer How long must an employer keep tax records for/ - Correct Answer-4 years

Which of the following is not reward for owning an enterprise- being your own boss, making decisions, flexibility of time are - Correct Answer-managing cash flow isnt A permit is obtained on Aug 1st, the materials are to be delivered Aug 8th, The materials are needed when labor begins on Aug 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 Sept 8th. How many float days are available for the labor for this project? - Correct Answer-14 days The ___________ states that one can not file against a public property - Correct Answer-miller act Any person aggrived by an action or decision of the residential building contractors committee may apeal to the contractors licensing board within ________days - Correct Answer-10 days Which of the following establishes a buffer between tasks - Correct Answer-contingency time

The foreman assists the project superintendent by all but which of the following? he does inspects areas, trains employees, and reviews project plans - Correct Answer-the foreman does not procures materials __________ absolves the indemnified party from any payment for losses and damages inocurred by a third party. - Correct Answer-indemnification What is the total project over head that lasts 4 months and has following costs, labor 5000, material 10000, equipment rentals are 2000, superintendent annual salary is 40000, office rent is 500 per month office utilities are 400 per month. - Correct Answer-between 12000 and 16000 ( the only overhead is going to be the salary of superintendent 40000/12=3333.334 months) a contractor pays workers compensation of .10per $100 of office employee payroll, 2.00 per $100 of field supervisor payroll, and .36 per $100 of field employee payroll. total office employee payroll is 35000, total field supervisor payroll is 58000, total field employees is 325000. the contractor receives a discount of 5% of total premiums for having safety program in place. the total workers compensation for th year is? - Correct Answer-more than 2,000 (.1035000=3500 based

on $100 3500/100=35 office payroll premium, 2.0058000=116000/100=1160.00 field sup. .36325000=117000/100=1170.00 field employees, 35+1160+1170=2365-5%=2246.75) What is the total 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 for $18 per hour, the contractor provides all of the materials and equipment, such as a table saw, the carpenter provides all of the own hand tools. the contractor and carpenter agree that all of the homes are to be completed within 60- eight hour working days, without overtime, the contractor provides the carpenter with a schedule of the order in which the homes are to be worked on. the contractor provides a helper to assist the carpenter and sets the work schedule each day. the carpenter spends 700 hours to complete this project including 140 hours of overtime. - Correct Answer-the carpenter is an employee and is owed 13860 for the project (560 hours *18=10080, 140 *27=3780 overtime , 10080+3780=13860 Which of the folowing entities share no personal liability? - Correct Answer-S corporation