General Contractor Practice Test

It is not only a good business practice to put your license number on all quotes and contracts, but many states require it. Many states require the contract license number to be stated in all advertisements, offers of services and proposals. Providing your license number on all such communications will give your prospective clients confidence and security in your business.

Lump Sum contracts have a fully developed scope of work and set of plans with detailed quantities. Unit Price contracts are used frequently in civil construction where the scope is known, but the exact quantities are unknown. Cost Plus contracts do not have a defined scope of work. Time and Materials contracts are used when the scope of work is unknown but the materials costs are known.

The typical bid bond has three parties, the contractor (principal), the owner (obligee) and the surety (obligor), which is an insurance company or bank. A bid bond functions as a guarantee that the contractor who wins the bid will perform the contract terms as agreed.

The word "lien", pronounced "lean", is a Latin derivative meaning "to bind". The purpose of a lien is to bind or encumber the title to property for money owed to a claimant. Having a lien on the property essentially "clouds the title", making subsequent sale or refinance of the property difficult without first satisfying the debt associated with the lien. There are various types of liens. Mechanic's liens are used in situations where a contractor or supplier to an improvement to property go unpaid for their services or materials. UCC liens arise out commercial transactions under the Uniform Commercial Code.

Retainage is a portion of the total contract price withheld by the owner until the work is complete to assure that the contractors will meet all of their obligations. The retainage is used as collateral to ensure the contractor, vendor or subcontractor will perform until the completion. When progress payments are used, retainage is measured by a percentage of each payment billed, typically 5 - 10%. At the end of the project, normally the last bill will be sent to request final payment plus retainage.

The penal sum of a performance bond is typically the amount of the prime contract, in this case $4,000,000. It provides a limit of liability for the surety company. In a bid bond, the penal sum is typically 5%-10% of the contract price for non-federal projects and 20% for federal projects.

Generally, under the FLSA, an employer must keep payroll records for three years but records used to compute pay, like time cards, work and time schedules and records showing additions to and reductions in wages, only need to be kept for two years. This information must be maintained and readily accessible for inspection by the DOL.

The critical path method is a technique to schedule a set of activities that are dependent on one another to measure the longest amount of time that is required to complete a project from start to finish. It looks at each activity individually to understand the earliest and latest time period in which the activity can be completed and how it will affect the other activities and the project as a whole.

Consideration is an essential element in the formation of a contract. It is the benefit each party gets or expects to get in a bargained for exchange. Common forms of consideration are money, real estate and personal property. Promises to do or refrain from doing something of value can be exchanged and form the basis of a contract. A valid contract will only be found where there is consideration for both parties.

A sole proprietorship is an unincorporated business that just has one owner. The advantages of such a form of ownership is pass-through taxation and less government regulation, since the business is unincorporated. Pass-through taxation means that there is no business entity itself which pays taxes on the revenues of the business, but profits are passed through to the owner who pays personal income tax, so the revenue is only taxed once. While a sole proprietorship has some attractive features for construction contractors who work alone, it has one serious disadvantage - unlimited personal liability for the debts and liabilities of the business. Unlimited liability means full legal responsibility for all business debts and liabilities and the liability is not capped. The owner's personal assets, like house and car, can be seized and sold by creditors to satisfy the financial obligations of the business that go unpaid. For this reason, most companies opt to incorporate with a form of ownership that gives protection from unlimited liability.

Risk reduction is a strategy employed when a company takes some type of action to limit its exposure to risk while conducting business or after the risk manifests, by taking steps to limit its impact. An example would be to have workers on a construction site use all necessary safety equipment to limit the exposure to accidents. Another example is having your crew trained in first aid in the event it is needed.

Unused latex paint in not considered a hazardous waste if it is in solidified form. It is water-based and does not create vapor that can combust. Once solidified, it can be disposed of as regular trash. In liquid form, latex paint can be considered a threat to the environment and should not be disposed of in drains or to the ground. Proper disposal methods include exposing the unused paint to the air, mixing the paint with paper shreds or using waste paint hardeners to solidify it. If a contractor has large quantities of unused latex paint, local ordinances may require the paint to be delivered to a chemical collection center.

OSHA created the Hazard Communication Standard (HCS) (CFR 1926.59) to ensure chemical safety in the workplace. The HCS requires employers to make information available and understandable to workers of the identities and chemicals used in a workplace. All employers with hazardous chemicals in their workplaces must have labels and safety data sheets for their exposed workers, and train them to handle the chemicals appropriately. The training for employees must also include information on the hazards of the chemicals in their work area and the measures to be used to protect themselves.

The IBC covers every building or structure unless it is covered by the IRC. The IRC covers detached one and two family dwellings and townhouses. Therefore, since the IRC will not apply to detached residential construction with 3-family dwellings, the IBC would apply.

$93,500.00 x .06 = $5,610.00

The prevailing wage laws are like minimum wage laws within a certain geographical area for construction workers on public contracts. They set the minimum cost of labor that's applied to all workers, regardless of where they come from. Prevailing wage laws helps prevent the use of less expensive, non-local workers to undercut local workers. In this way, a level playing field is created for local workers.

It is a typical requirement of a commercial construction project for the GC to provide a Quality Control Plan to detail their intended efforts throughout the project to maintain the quality intended by the designers. This plan of action is developed, in part, to maintain the specified products that are to be purchased and installed by the tradesmen on site. Testing requirements should also be listed in this plan and, if third-party testing is needed, it should be set up in advance. Typically, a project with a QC plan will have a designated quality control manager who is independent of the project superintendent, who runs the day-to-day field operations. A QC plan will utilize a system of surveillance to monitor overall quality control.

Conceptual estimates are produced from merely the notion the owner has pictured to be constructed. They help the owner determine early on whether a project is financially feasible. More detailed estimates come after the conceptual estimate.

The window schedule would be found on a drawing in a box format of detail.

The 3-4-5 method is the most accurate method to find a 90° angle.

Hardwood trees only grow leaves so it makes this easy to determine.

You should never rip or cut a piece of lumber on a table saw with the fence closer than 4" to the blade.

You should always take proper precautions when using any sharp tool.

The framing square has a ruler on both sides. The 16" and 24" surfaces using both sides can determine what the pitch is for the rafter.

The nominal size is 1" x 8" but the dimensional or actual size is ¾" x 7 ¼" when dressed to size.

This saw is commonly referred to as a jig saw.  Its purpose is to cut odd shapes in material.

If you exceed the manufactures maximum psi you void the warranty and put safety in question.

When you apply for a plumbing permit you must provide a full description of the work to be done. Plumbing plans are often required for larger jobs. Specifications of all materials to be installed are a common requirement for a plumbing permit. Permit applications require the physical address of the property to receive plumbing services. The use of the property is often required. It makes a difference if a structure is a home or a daycare. The owner's name of the proper is generally required. You are also required to detail the number and type of plumbing fixtures to be installed.

Four feet is the maximum distance allowed between pipe supports for plastic DWV piping that is installed in a horizontal position.

Crossbar handles are not allowed for use in conjunction with accessible faucets. The types of handles that are allowed include: push-button handles, sensor-units, blade handles, wing handles and single handles. The reason for this is that finger dexterity is not a requirement for operating the handles.

The rodding clearance for a 3" drain is 18".

Installing vents on plumbing traps enable the drains to drain faster and better. This is due to the air that is allowed to circulate in the drainage system as a result of the vent. Self-cleaning traps, such as P traps, are at risk of being drained of their liquid trap seals if they are not vented. Sewer gas is a health hazard. Vents protect against this risk by transporting sewer gas to open air outside of the building where plumbing is installed.

Horizontal drain pipes are required to have cleanouts installed at the end of the piping run. Additional cleanouts may be needed when the drain extends for a distance in excess of 50 feet. In the case of the drain terminating at a water closet, the water closet can be considered a cleanout. Likewise, a horizontal drain equipped with a P-trap is considered to have a cleanout as a result of the removable U-bend of the trap.

Residential plumbing systems are to be equipped with water distribution systems that operate at no more than 80 pounds per square inch. Street pressure for the water delivered from a municipality can be higher than this. If this is the case, the installation of a pressure reducing valve is required near the connection between a water service and a water distribution pipe. This valve allows you to adjust the pressure rating to remain in compliance with the plumbing code.

Mechanical joints are used when joining dissimilar pipes. These mechanical joints can be made with compression joints or mechanical-sealing devices. The devices used to make the joints are required to have approved elastomeric seals.

A green stamp denotes the heavier grade of K copper.

Only a full port valve can be used on a water heater on the cold inlet side of the water piping.

The grounded conductor of an ac service is connected to a grounding electrode system to limit the voltage to ground imposed on the system by lightning and line surges. It also stabilizes the voltage to ground during normal operation, including short circuits. Refer to Section 250.24(A).

As shown in Table 310.104(A) and Table 310.15(B)(16) conductors with THHN insulation have a temperature rating of 90ºC.

To minimize the potential for making inadvertent contact, overhead service-drop conductors are to have a clearance from final grade of not less than 10 ft., where the voltage does not exceed 150 volts to ground. Refer to Section 230.24(B)(1).

Standard ampere ratings of fuses and fixed-trip circuit breakers are listed in Table 240.6(A).

In Class II, Division 1 locations, boxes or fittings shall be provided with threaded bosses for connection to conduit or cable terminations and shall be dusttight. This requirement helps to prevent the entrance of combustible dust. Refer to Section 502.10(A)(3).

To prevent corrosion of aluminum grounding electrode conductors, where used outside, they are not permitted to be terminated within 18 inches of the earth. Refer to Section 250.64(A).

As allowed by the exception to Section 430.84, where the motor controller also serves as the disconnecting means, it shall open all ungrounded conductors to the motor.

In compliance with Section 422.11(E)(3), the overcurrent protective device for a non-motor operated appliance is permitted to be sized at 150% of the current rating of the appliance. Where the value selected does not correspond with the rating of a standard size overcurrent device, you are permitted to go up to the next standard size as shown in Table 240.6(A).

I = 4,500 watts = 18.75 amperes x 150% = 28.15 amperes
       240 volts 

As mandated in Section 240.51(B), Edison-base type fuses shall be used only for replacements in existing installations. The purpose of this requirement is to phase out the old-style fuses.

Where lay-in type luminaires are installed in suspended ceilings, Section 410.36(B) calls for the luminaires to be securely fastened to the ceiling framing members by mechanical means. The use of bolts, screws, rivets and clips are permitted for the fastening means. Clips that are used to support a luminaire to the framing members of a suspended ceiling assembly must be of a type listed for the application.

An inductive load is a load consisting of a coil of wire which will cause current to lag voltage; such as a motor or transformer.

Heat transfer is a discipline of thermal engineering that concerns the conversion, and exchange of thermal energy and heat between physical principles. Heat transfer is classified into various methods, such as thermal conduction, thermal convection, and thermal radiation.

When a system has a restricted filter drier, it causes a pressure drop across the drier, thus restricting the flow of refrigerant, and the difference in pressure results in a temperature drop across the drier at the point of the restriction.

By increasing water flow, this will cause the discharge pressure to drop. More water at a cooler temperature will absorb more heat and lower the pressure. Water cooled condensers are designed to maintain a 10 degree differential between the refrigerant and water temperature.

A process that produces no flux residue (slag) must only use solid and or metal cored electrode wires.

The ability of a material to be effected by repeated load (generally more than 250,000 cycles) is considered fatigue or cyclic loading. The endurance limit of a material is the load that can be applied for an unlimited number of cycles without failure occurring.

If the weld does not combine with another weld or the base metal it is referred to as Incomplete fusion.

This is also considered the operating factor and is thought of as the percentage of a shift that a welder/welding operator is actually welding. For robotic and mechanized welding, it can be as high as 90% while for manual and semiautomatic welding it can be as low as 10-20% operating factors.