Exam Practice Questions And Correct

Georgia Residential-Basic Contractor Exam Practice Questions And Correct Answers (Verified Answers) Plus Rationales 2026 Q&A | Instant Download Pdf

• Which of the following is required before a residential contractor can

legally work in Georgia?

• Local business license only
• Proof of insurance only
• State license issued by the Georgia State Licensing Board
• OSHA certification

Rationale: All residential contractors in Georgia must have a state-

issued license from the Georgia State Licensing Board before performing work. 1 / 4

• A contractor discovers underground utilities while excavating. What is

the first step?

• Continue work cautiously
• Contact Georgia 811 to mark utilities
• Notify the client and resume
• Dig manually to avoid utilities

Rationale: Georgia law requires contacting Georgia 811 to locate

underground utilities before excavation.

• How long must a contractor maintain records of contracts and

payments?

• 1 year
• 2 years
• 3 years
• 5 years

Rationale: Georgia law requires contractors to maintain records for

three years for auditing and consumer protection.

• What is the maximum amount of a residential construction contract

that can be performed without a state license?

A. $10,000

B. $2,500

C. $5,000

• No limit 2 / 4

Rationale: In Georgia, residential work under $2,500 does not require

a state contractor license.

• Which insurance is mandatory for Georgia residential contractors?
• Fire insurance
• Vehicle insurance
• General liability insurance
• Workers’ compensation insurance (for all contractors)

Rationale: Contractors must maintain general liability insurance;

workers’ comp is required only if they have employees.

• What is the minimum period for a warranty on a newly built home’s

structural components?

• 6 months
• 1 year
• 5 years
• 10 years

Rationale: Georgia law requires at least a one-year warranty for all

newly constructed homes.

• Which of the following best describes a lien?
• A type of loan
• A legal claim against property for unpaid work or materials
• An insurance policy
• A zoning restriction 3 / 4

Rationale: Contractors can file a lien to secure payment for services

or materials provided.

• When is a contractor required to provide a written contract?
• Only for projects over $10,000
• For any verbal agreement
• For residential projects exceeding $500
• Never required

Rationale: Georgia law requires written contracts for residential

projects over $500.

• Which of the following is NOT a responsibility of a residential

contractor?

• Ensuring work meets code
• Supervising subcontractors
• Inspecting client’s plumbing before starting
• Maintaining safety on site

Rationale: Inspecting existing plumbing is typically the responsibility

of the plumber, not the general contractor.

• Which of these is considered an acceptable method of payment

according to Georgia contractor law?

• Cash only
• Cash, check, or credit card
• Barter only
• Cryptocurrency only
• / 4