Practice Test Geeks(CAPS) Certified Aging-in-Place Specialist Practice Test
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CAPS Business Operations & Management Flashcards

6 cards from real CAPS practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 6 CAPS Business Operations & Management flashcards as text

  1. Which business structure offers a CAPS professional personal liability protection while allowing pass-through taxation?

    Answer: Limited Liability Company (LLC)

    An LLC provides personal liability protection, shielding the owner's personal assets from business debts, while income passes through to the owner's personal tax return.

  2. A CAPS professional should document all project changes using a change order primarily to:

    Answer: Ensure both parties agree on modifications to scope, cost, and schedule

    Change orders create a written record that both the contractor and client have agreed to any modifications in scope, cost, or timeline, preventing future disputes.

  3. For a CAPS professional, workers' compensation insurance is required when:

    Answer: The business employs workers who could be injured on the job

    Workers' compensation insurance is required when employing workers, covering medical expenses and lost wages if an employee is injured on the job.

  4. Which pricing strategy is commonly used by CAPS professionals for complex aging-in-place renovations?

    Answer: Cost-plus pricing, adding a markup to cover overhead and profit

    Cost-plus pricing ensures all direct costs are covered while adding a consistent markup to account for overhead and deliver a fair profit margin.

  5. What is the primary purpose of a project punch list at the end of an aging-in-place modification?

    Answer: To document incomplete or defective items that must be corrected before final payment

    A punch list documents all remaining tasks or corrections needed, ensuring nothing is overlooked before the project is considered complete and final payment is released.

  6. When marketing aging-in-place services, targeting adult children of elderly parents is effective because:

    Answer: They are typically the decision-makers and funders for a parent's home modifications

    Adult children frequently initiate and fund aging-in-place modifications for their parents, making them a primary target audience for CAPS marketing.