THE 9TH FLOOR
Compliance Made Simple
Critical Numbers Practice Exam
Master the Numbers You Must Know for Your CA Contractor License
Questions
50
Focus Area
Numbers & Deadlines
Exam Type
Law & Business
Passing Score
72%
📊 Why Critical Numbers Matter
The CSLB Law & Business exam tests your knowledge of specific numbers, percentages, timeframes, and dollar amounts. This exam focuses exclusively on these critical values. Master these numbers and you'll have a significant advantage on test day!
Tip: Don't just memorize—understand WHY each number matters and what it protects.
QUESTION 1 OF 50
What is the maximum fine for contracting without a license in California?
✓ Correct Answer: C) $15,000
Contracting without a license is punishable by up to $15,000 in fines and/or up to 1 year in county jail per Business & Professions Code §7028. This is a misdemeanor offense.
QUESTION 2 OF 50
How many days does a contractor have to notify the CSLB of a change of address?
✓ Correct Answer: C) 30 days
Contractors must notify the CSLB within 30 days of any address change to ensure the Board can communicate with the licensee effectively.
QUESTION 3 OF 50
Within how many days must a preliminary notice be served after first furnishing labor or materials?
✓ Correct Answer: B) 20 days
A preliminary notice must be served within 20 days of first furnishing labor or materials to preserve mechanic's lien rights. This is a critical deadline for contractors and suppliers.
QUESTION 4 OF 50
What is the minimum dollar amount requiring a written contract for home improvement work?
✓ Correct Answer: C) $500
Any home improvement contract for $500 or more (including labor and materials) must be in writing per Business & Professions Code §7159.
QUESTION 5 OF 50
Within how many days must a mechanic's lien be recorded after completion or cessation of work?
✓ Correct Answer: C) 90 days
A mechanic's lien must be recorded within 90 days after completion of work of improvement or cessation of work to be valid. Missing this deadline forfeits lien rights.
QUESTION 6 OF 50
What is the statute of limitations for patent (visible) defects in construction?
✓ Correct Answer: C) 4 years
The statute of limitations for patent (visible) defects is 4 years from the date the defect is discovered or should have been discovered through reasonable inspection.
QUESTION 7 OF 50
How often must a contractor's license be renewed?
✓ Correct Answer: B) Every 2 years
California contractor licenses must be renewed every 2 years. Failing to renew on time results in expiration and potential penalties.
QUESTION 8 OF 50
What is the maximum down payment allowed for a home improvement contract over $1,000?
✓ Correct Answer: A) 10% or $1,000, whichever is less
For contracts over $1,000, the maximum down payment is the lesser of 10% of the contract price OR $1,000. This protects homeowners from excessive upfront payments.
QUESTION 9 OF 50
What is the current contractor license bond amount required in California?
✓ Correct Answer: C) $15,000
The contractor license bond was increased from $12,500 to $15,000 effective January 1, 2021, to provide better consumer protection.
QUESTION 10 OF 50
How many days does the "right to cancel" period last for home improvement contracts signed at the customer's home?
✓ Correct Answer: B) 3 days
The federal "cooling-off" rule gives consumers 3 business days to cancel contracts signed at their home. Notice must be included in home improvement contracts.
QUESTION 11 OF 50
How long must a contractor maintain copies of home improvement contracts?
✓ Correct Answer: D) 4 years
Contractors must maintain copies of home improvement contracts for 4 years from the date of completion or abandonment of the work.
QUESTION 12 OF 50
At what height or more does Cal/OSHA require fall protection?
✓ Correct Answer: C) 7.5 feet
Cal/OSHA requires fall protection at 7.5 feet or more, which is stricter than the federal OSHA standard of 6 feet. California has higher safety requirements.
QUESTION 13 OF 50
Within how many hours must serious injuries or deaths be reported to Cal/OSHA?
✓ Correct Answer: B) 8 hours
Employers must report serious injuries, illnesses, or deaths to Cal/OSHA within 8 hours. Immediate reporting is also good practice for emergencies.
QUESTION 14 OF 50
Trenches deeper than how many feet require a protective system?
✓ Correct Answer: C) 5 feet
Trenches 5 feet or deeper require a protective system (shoring, sloping, or shielding) unless the excavation is made entirely in stable rock.
QUESTION 15 OF 50
What is the minimum distance required from overhead power lines under 50kV?
✓ Correct Answer: C) 10 feet
Cal/OSHA requires maintaining at least 10 feet clearance from overhead power lines under 50kV to prevent electrocution hazards.
QUESTION 16 OF 50
After how many hours in a California workday is overtime pay required?
✓ Correct Answer: B) 8 hours
California requires overtime pay (1.5x regular rate) after 8 hours in a workday or 40 hours in a workweek. Double time is required after 12 hours in a day.
QUESTION 17 OF 50
Employee payroll records must be kept for at least how many years?
✓ Correct Answer: C) 3 years
California law requires employers to maintain payroll records for at least 3 years to comply with labor code requirements and potential audits.
QUESTION 18 OF 50
After working how many hours must an employee receive a meal break?
✓ Correct Answer: B) 5 hours
Employees must receive a 30-minute meal break after working more than 5 hours. A second meal break is required after 10 hours of work.
QUESTION 19 OF 50
How many 10-minute rest breaks are required for an 8-hour work shift?
✓ Correct Answer: B) Two
California requires one 10-minute paid rest break for every 4 hours worked (or major fraction thereof). An 8-hour shift requires two 10-minute breaks.
QUESTION 20 OF 50
When an employer terminates an employee, when must final wages be paid?
✓ Correct Answer: A) Immediately at termination
When an employer terminates an employee, all wages must be paid immediately. If the employee quits without notice, payment is due within 72 hours.
QUESTION 21 OF 50
What percentage is the typical passing score for the CSLB Law & Business exam?
✓ Correct Answer: D) 72%
The passing score for the Law & Business exam is 72% (36 out of 50 questions correct). This represents the minimum competency required.
QUESTION 22 OF 50
If a job costs $10,000 and you want a 20% profit margin, what should you charge?
✓ Correct Answer: C) $12,500
To achieve 20% profit: Cost ÷ (1 - Profit %) = Price. $10,000 ÷ 0.80 = $12,500. The difference ($2,500) represents 20% of the selling price.
QUESTION 23 OF 50
What percentage of overhead and profit combined is commonly added to job costs?
✓ Correct Answer: C) 20-30%
Industry standard for combined overhead and profit markup typically ranges from 20-30% of job costs, though this varies by company size and market conditions.
QUESTION 24 OF 50
What is the recommended maximum voltage drop for branch circuits per the NEC?
✓ Correct Answer: B) 3%
The NEC recommends limiting voltage drop to 3% on branch circuits for efficiency, with a combined feeder and branch circuit maximum of 5%.
QUESTION 25 OF 50
How many employees triggers the requirement for workers' compensation insurance in California?
✓ Correct Answer: A) 1 or more employees
California requires workers' compensation insurance if you have even ONE employee. This is stricter than many other states. Family members may be exempt.
QUESTION 26 OF 50
What is the statute of limitations for latent (hidden) defects in construction?
✓ Correct Answer: D) 10 years
The statute of limitations for latent (hidden) defects is 10 years from substantial completion. This provides longer protection since these defects aren't immediately visible.
QUESTION 27 OF 50
After an employee quits without notice, within how many hours must final wages be paid?
✓ Correct Answer: C) 72 hours
When an employee quits without giving at least 72 hours' notice, final wages must be paid within 72 hours. With proper notice, payment is due on the last day of work.
QUESTION 28 OF 50
What is the minimum frequency for paying non-exempt employees in California?
✓ Correct Answer: C) Semi-monthly (twice per month)
Non-exempt employees must be paid at least semi-monthly (twice per month). More frequent payment (weekly or bi-weekly) is permitted but not required.
QUESTION 29 OF 50
What is the minimum number of small appliance circuits required for a kitchen?
✓ Correct Answer: B) 2 circuits
The NEC requires at least two 20-ampere small appliance branch circuits for kitchen, dining, and pantry receptacles to handle the electrical load safely.
QUESTION 30 OF 50
What is the maximum spacing between receptacle outlets along a wall in a dwelling?
✓ Correct Answer: C) 12 feet
NEC requires receptacles so that no point along the wall is more than 6 feet from a receptacle, meaning maximum spacing is 12 feet between outlets.
QUESTION 31 OF 50
What percentage of continuous load capacity must a circuit breaker be rated for?
✓ Correct Answer: C) 125%
Overcurrent protection devices must be rated at 125% of continuous loads (or the continuous load cannot exceed 80% of the circuit rating).
QUESTION 32 OF 50
Within how many feet of a swimming pool must receptacles have GFCI protection?
✓ Correct Answer: D) 20 feet
All receptacles within 20 feet of the inside walls of a pool require GFCI protection to prevent electrical shock in wet environments.
QUESTION 33 OF 50
What is the standard residential service voltage in the United States?
✓ Correct Answer: C) 120/240 volts
Standard residential electrical service is 120/240 volts single-phase, providing 120V for outlets/lighting and 240V for large appliances.
QUESTION 34 OF 50
What is the standard frequency of AC power in the United States?
✓ Correct Answer: B) 60 Hz
The standard frequency for alternating current in the US is 60 Hertz (cycles per second), different from the 50 Hz used in many other countries.
QUESTION 35 OF 50
How many feet of working clearance is required in front of electrical panels rated 600V or less?
✓ Correct Answer: B) 3 feet
The NEC requires minimum 3 feet (36 inches) of working space in front of electrical equipment rated 600V or less with exposed live parts.
QUESTION 36 OF 50
Within how many inches of a bathroom basin must a receptacle be located?
✓ Correct Answer: C) 36 inches
At least one receptacle must be installed within 3 feet (36 inches) of the outside edge of each bathroom basin, located on a wall adjacent to the basin.
QUESTION 37 OF 50
What is the ampacity of 10 AWG copper wire with THHN insulation at 75°C?
✓ Correct Answer: D) 35 amperes
Per NEC Table 310.16, 10 AWG copper conductor has an ampacity of 35 amperes in the 75°C column, which is standard for most terminations.
QUESTION 38 OF 50
What is the maximum overcurrent protection permitted for 12 AWG copper conductors?
✓ Correct Answer: B) 20 amperes
While 12 AWG has 25A ampacity, NEC 240.4(D) limits overcurrent protection to 20 amperes maximum for branch circuits using 12 AWG copper.
QUESTION 39 OF 50
How many inches is the burial depth for rigid metal conduit under a driveway?
✓ Correct Answer: A) 6 inches
Rigid metal conduit (RMC) requires only 6 inches burial depth under driveways due to its robust construction, per NEC Table 300.5.
QUESTION 40 OF 50
At what height above finished floor are wall switches typically mounted?
✓ Correct Answer: C) 48 inches
Standard practice is to mount switches at 48 inches (4 feet) to center. ADA requirements specify 48 inches maximum height for accessible switches.
QUESTION 41 OF 50
How many 12 AWG THHN conductors can fit in a 1/2-inch EMT conduit at 40% fill?
✓ Correct Answer: B) 9
According to NEC Annex C, Table C.1, a 1/2-inch EMT conduit can hold 9 conductors of 12 AWG THHN at 40% conduit fill.
QUESTION 42 OF 50
What is the minimum wire size for general purpose branch circuits?
✓ Correct Answer: C) 14 AWG
The minimum conductor size for branch circuits is 14 AWG copper (rated for 15-ampere circuits) or 12 AWG aluminum per NEC 210.19(A).
QUESTION 43 OF 50
How many cubic inches does each 14 AWG conductor require in a junction box?
✓ Correct Answer: B) 2.0 cubic inches
Per NEC Table 314.16(B), each 14 AWG conductor requires 2.0 cubic inches of box volume for proper installation and heat dissipation.
QUESTION 44 OF 50
At what intervals must NM cable be supported?
✓ Correct Answer: C) Every 4.5 feet
Type NM cable must be supported at intervals not exceeding 4.5 feet and within 12 inches of every box or cabinet per NEC 334.30.
QUESTION 45 OF 50
What is the minimum height overhead power lines must be above a swimming pool?
✓ Correct Answer: D) 22.5 feet
NEC 680.8 requires overhead conductors to be at least 22.5 feet above the maximum water level for voltages up to 15kV for safety.
QUESTION 46 OF 50
What size grounding electrode conductor is required for a 200-amp service with 3/0 AWG conductors?
✓ Correct Answer: C) 4 AWG
Per NEC Table 250.66, for service entrance conductors of 3/0 AWG copper, the grounding electrode conductor must be 4 AWG copper minimum.
QUESTION 47 OF 50
How many watts can a 15-ampere, 120-volt circuit safely handle as a continuous load?
✓ Correct Answer: B) 1,440 watts
Continuous loads must not exceed 80% of circuit rating. 15A × 120V = 1,800W total. 1,800W × 0.80 = 1,440W maximum continuous load.
QUESTION 48 OF 50
What is the minimum equipment grounding conductor size for a 20-ampere circuit?
✓ Correct Answer: B) 12 AWG
According to NEC Table 250.122, the minimum equipment grounding conductor for a 20-ampere overcurrent device is 12 AWG copper.
QUESTION 49 OF 50
What is the minimum number of lighting circuits required for a 1,800 sq ft dwelling?
✓ Correct Answer: B) 3 circuits
1,800 sq ft × 3 VA/sq ft = 5,400 VA. At 120V: 5,400 ÷ 120 = 45A needed. 45A ÷ 15A per circuit = 3 circuits minimum per NEC 220.12.
QUESTION 50 OF 50
What is the maximum height for the center of the disconnect handle on a panelboard?
✓ Correct Answer: C) 6 feet 7 inches
NEC 404.8(A) requires the center of the grip of the operating handle to not exceed 6 feet 7 inches (2.0 m) above the floor or working platform.