Florida General Contractor MCQ 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 General Contractor MCQ flashcards as text
When bidding a project, what does 'overhead' typically refer to in a contractor's cost estimate?
Answer: Indirect costs of running the business not tied to one job
Overhead covers indirect business costs like office rent, insurance, and administration allocated across jobs.
In a lump-sum (fixed-price) contract, who primarily bears the risk of cost overruns?
Answer: The contractor
Under a lump-sum contract the contractor absorbs cost overruns because the price is fixed.
What does a 'retainage' provision in a construction contract allow the owner to do?
Answer: Withhold a percentage of each payment until completion
Retainage lets the owner hold back a percentage of progress payments as security until the work is complete.
A performance bond primarily protects the owner against what?
Answer: The contractor failing to complete the contract
A performance bond guarantees the project will be completed per the contract if the contractor defaults.
What is the purpose of a payment bond on a construction project?
Answer: To ensure subcontractors and suppliers get paid
A payment bond guarantees that subcontractors, laborers, and material suppliers are paid.
In critical path method (CPM) scheduling, the critical path represents which of the following?
Answer: The longest sequence of dependent tasks determining project duration
The critical path is the longest chain of dependent activities that sets the minimum project duration.
A change order in construction is best described as what?
Answer: A written modification to the original contract scope, price, or time
A change order formally documents an agreed modification to the contract's scope, cost, or schedule.