Licensed Electrical Contractor Business and Law Practices 4

Question 1

Which federal agency enforces workplace safety and health regulations for electrical contractors?

Accepted Answer

OSHA (Occupational Safety and Health Administration)

Answer

OSHA enforces workplace safety standards, including electrical safety standards under 29 CFR 1910 (general industry) and 1926 (construction).

Question 2

A contract clause that limits the contractor's liability to the total value of the contract is called a:

Accepted Answer

Limitation of liability clause

Answer

A limitation of liability clause caps the contractor's maximum financial exposure, often set at the contract price or a specified dollar amount.

Question 3

Under the Americans with Disabilities Act (ADA), electrical contractors renovating commercial facilities must ensure that new electrical work:

Accepted Answer

Does not create barriers that reduce accessibility for persons with disabilities

Answer

ADA requires that renovations to commercial facilities not create new barriers to accessibility, including placement of outlets, panels, and controls at accessible heights.

Question 4

An electrical contractor's 'markup' on materials is intended to cover:

Accepted Answer

The cost of materials plus overhead and profit attributable to procurement

Answer

Material markup covers not just the purchase price but also the overhead costs of procurement, storage, handling, and a profit margin.

Question 5

Which document outlines the rights and obligations of partners in an electrical contracting business partnership?

Accepted Answer

Partnership agreement

Answer

A partnership agreement defines each partner's roles, profit/loss sharing, decision-making authority, and procedures for dissolving the partnership.

Licensed Electrical Contractor Practice Test

Licensed Electrical Contractor Practice Test

Licensed Electrical Contractor Business and Law Practices 4