Michigan Residential Builder's License Test Bank|1190 Questions and Answers, 100% Correct| A+ Rated Solution Guide| Latest 2024-2025
What is the 1st offen... [Show More] se penalty for engaging in the practice of residential building
without a license?
Not less than $5K and not more than $25K and/or 1 year
What is the penalty for engaging in the practice of residential building, resulting in
a death?
Not less than $5K and not more than $50K and/or 4 years
On your individual builder's license application, what should you write as your
"business address"?
Your personal address
What is the cost of the individual builder's license?
$195
After receiving your residential builder's license, what are the only trades that are
not covered by your license?
-Plumbing
-Electrical
-HVAC
Who is the TESTING company for the State of Michigan?
PSI
What is the name of the DEPARTMENT that regulates your license?
LARA
Before you may test, what must you do?
Present 2 forms of ID
How should you schedule your test with PSI?
-Online
-Mail
-Phone/Fax
When will you receive your test score?
Immediately following the completion of the test
What are the 2 parts of the Residential Builder's Exam?
-Business & Law
-Practice & Trade
How long will you have to complete the Practice & Trade portion of the exam?
180 mins
What is a quick asset ratio?
1 to 1
Under the carpentry section of the test, what does a "span table" tell us?
What species and what grade of lumbar a floor joist has to be to span a certain
distance
Which topics will be covered on the Practice & Trade portion of the exam?
-Carpentry
-Roofing
-Insulation
Do you need a Residential Builder's License to work on commercial projects?
No
Where does the most fraud occur?
The residential market
As a builder, your license falls under the regulation of what?
-Rules by the director & board
-Laws of The State of Michigan
What is the make up of the 9 members of the board?
-6 individuals that have a license/registration in the occupation in which the board
monitors
-3 members of the general public
Under the definition of occupation code, what does the word "limitation" refer to?
A condition, stricture, restraint or probation attached to a license relative to the
scope of practice
Who, upon completing a hearing, shall assess a penalty(ies)?
The Board
If you fail to renew your license/registration on or before the expiration date, how
many days do you have to resubmit with the proper payment and late fee?
60 Days
When the department is investigating a complaint and finds evidence of a
violation, what actions can be brought against them?
-Cease & desist order
-Formal complaint
-Citation
How many days after the administrative law hearings examiner hears the report,
must a determination of penalties be made by the board?
60 Days
What is a compliance conference?
A meeting where the respondent meets with the department to discuss the
complaint against them
What is a possible penalty for operating without a residential builder's license?
-A placement of a limitation on the license
-Probation
-Suspension of license
What does a residential structure mean?
A premise used or intended to be used for a residence purpose and related facilities
appurtenant to the premises used or intended to be used as an adjunct of residential
occupancy
When can an employee other than the listed salesperson make a sale?
When it's occasional and incidental to the person's principle employment
Why would someone be allowed to operate without a residential builder's license?
-They are an authorized representative of the US Government
-They are the owner of a rental property with reference to the maintenance and
alteration of that rental property
-An owner of property with reference to a structure on the property for the owner's
own use and occupancy
Beginning the license cycle after Dec 21st, 2007, the department shall issue the
license of a residential builder and residential maintenance and alteration
contractor for a period of how many years duration?
3 years
After receiving your initial residential builder's license, how many hours of
continuing competency are required within the next 3 years?
21 hours
How is the salesperson license changed when the salesperson desires to change
employment from 1 residential builder to another?
-License will be forwarded to the department
-An application for transfer is made
-New license under the new employer will be issued
Regarding workmanship, how long does a client have to file a "verified
complaint"?
18 months
If a licensed residential builder or licensed residential maintenance and alteration
contractor wishes to change the control or direction of the business, how long do
they have to report that change to the department?
10 days
The department shall conduct a review upon the notice that the licensee has
violated the asbestos abatement contractors licensing act, what is a possible
consequence for this violation?
-The department may suspend/revoke that person's license
-Fines may be issued
When the board issues the findings of a verified complaint, what happens?
-Department will post on its website any final order of the board and the date it
was issued
According to the Administrative Rules, what does and application for a license
include?
-The residence address of all individuals, partners, officers and/or members as
requested by the board
-The address if the principle place of business in Michigan
Upon final order of license suspension/revocation, the licensee shall surrender the
license to the department within how many days of the date of
suspension/revocation?
10 days
According to the Administrative Rules, what shall a licensee include on all
advertising?
-Name on license
-License number
-Actual business address as shown on license
According to the purchase & sales agreement, the builder/contractor shall make
certain that the written agreement clearly states the terms of the transaction,
including what?
-Specifications & cost
-Type & quality of materials
-Type & amount of work to be done
After investigation, the department may request a licensee to appear at such
________________ as is necessary to determine whether there is cause for a
complaint that would require a hearing or dismissal of the complaint.
Investigative Conference
Who can represent a respondent in a complaint?
-Attorney
-His/Her own self
What act was created to collect fees for the regulation of certain occupations,
professions, and for certain agencies and businesses; to create certain funds; and to
prescribe certain powers and duties of certain states agencies adepts?
State License Fee Act
What act encourages and contributes to the rehabilitation of former offenders and
to assist them in the assumption of the responsibilities of citizenship
Occupational License for Former Offenders Act
According to the "Building Contract Fund", evidence of "intent to defraud" is
defined as what?
When a contractor/subcontractor appropriates money to him/her self for building
operations BEFORE the payment by him/her of all money due or so to become due
to laborers, subcontractors, material men, or others entitled to paymen [Show Less]
