Ch. 1: Contractors License Law - California Contractor License

C. $500

A contractor's license is not required for a project in which the total price for all labor and materials is less than: A. $200 B. $300 C $500 D. $1,000

B. The remaining partners may continue to conduct business using the same license since the qualifying individual is still involved with the business.

A group of four persons obtains a contractor's license as a partnership. After five years one of these partners, who did not serve as the qualifying individual for the license, disassociates from the partnership. In this situation, which of the following statement is not correct: A. the remaining partners may apply for a continuation of the license within 90 days in order to complete any existing contracts B. the remaining partners may continue to conduct business using the same license since the qualifying individual is still involved with the business C. the remaining partners may file a new application to obtain a new partnership license D. the partner who disassociated from the license may obtain his/her own individual license without passing the examination

B. 20%

An individual may qualify for as many as three separate licenses provided that he/she owns at least ___ of the equity of each business for which he/she serves as the qualifying individual. A. 10% B. 20% C. 33% D. 50%

D. five years

If a license is not renewed within ___ following its expiration date, the license will be considered void and cannot be reinstated in any way. A. 90 days B. two years C. three years D. five years

D. notify the Registrar and replace the qualifier within 90 days

What must a licensee do if the qualifying individual disassociates from the business? A. surrender the license immediately B. surrender the license within one year following the disassociation C. take and pass the qualifying examination within 90 days D. notify the Registrar and replace the qualifier within 90 days

A. a person who has been listed as a partner on an active license for the past four years and has been actively engaged in that business' construction operations

Which of the following individuals will be required to pass the qualifying examination in order to obtain a contractor's license: A. a person who has been listed as a partner on an active license for the past four years and has been actively engaged in that business' construction operations B. a person who was the Responsible Managing Employee for another licensee three years ago C. a person who passed the qualifying examination two years ago, but did not ever receive a license D. a person who currently is the qualifier on a license who is applying for a new license as a Responsible Managing Employee

D. a firm that installs, maintains, or monitors fire alam system

Which of the following is not exempt from the requirements of the contractor's license law: A. a government agency B. a material supplier who does not install the materials C. a person working on his/her own property when it is not for the purpose of resale D. a firm that installs, maintains, or monitors fire alarm systems

B. contractor's license number

Which of the following is required by law to be included in all advertising placed by a contractor: A. address and telephone number B. contractor's license number C. name of the qualifying individual D. all of the above

D. A licensed corporation is required to obtain two separate bonds for the corporation and its qualifying individual.

Which of the following statements is not true with regarding the contractor's bond: A. a contractor cannot legally refer to any required bond in his/her advertising B. a bond must remain in full force and effect in order to maintain an active license C. any claims against such a bond must be filed within two years following the expiration date of the license period for which the bond was provided D. a licensed corporation is required to obtain two separate bonds for the corporation and its qualifying individual

D. An RME must have a separate bond issued to accompany the licensee's bond.

Which of the following statements is true with regard to a Responsible Managing Employee? A. An RME may have his/her own active individual license while he/she qualifies for another active license. B. An RME may qualify for up to three separate licenses. C. An RME must own at least 10% of each business for which he/she serves as the qualifying individual. D. An RME must have a separate bond issued to accompany the licensee's bond.