Florida Contractor Business Management Flashcards
7 cards from real Florida General Contractor practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Florida Contractor Business Management flashcards as text
Federal unemployment tax paid by employers is reported on which form?
Answer: Form 940
Form 940 is used to report and pay federal unemployment (FUTA) tax annually.
A contractor's break-even point occurs when total revenue equals what?
Answer: Total costs
Break-even is reached when total revenue equals total fixed plus variable costs, producing zero profit.
Which insurance protects a contractor against claims of bodily injury or property damage to third parties?
Answer: General liability insurance
General liability insurance covers third-party bodily injury and property damage claims.
A performance bond primarily guarantees what?
Answer: Completion of the contract per its terms
A performance bond guarantees the contractor will complete the project according to the contract.
If a contractor's labor burden rate is 30% and base wages are $50,000, what is the total labor cost?
Answer: $65,000
Adding 30% burden to $50,000 in base wages yields $65,000 in total labor cost.
How long must Florida employers generally retain payroll records under federal FLSA requirements?
Answer: 3 years
The FLSA requires payroll records to be kept for at least three years.
Which of the following is considered a variable cost for a contracting business?
Answer: Materials for each job
Job materials vary directly with production volume, making them a variable cost.