Virginia Contractor Advanced Portion (Class A)

Bid peddling is a subcontractor approaching the general contractor after the award to lower its bid-day price, while bid shopping is the general contractor approaching other subcontractors seeking lower offers (bid rigging is collusion among contractors to fix the award).

Equipment needed for a specific job task (e.g., a crane rented to set a rooftop air handling unit) is a direct project cost, while small tools and pickup trucks are indirect costs figured into project overhead.

All-risk covers direct loss by any peril not specifically excluded by the policy (almost all risks), while named peril is narrower and covers only the perils it specifies, such as fire and lightning.

A letter of credit is not a bond but a cash guarantee to the owner convertible to payment (not a guarantee of performance) and customarily covers only 5 to 10 percent of the contract rather than 100 percent.

In mediation an independent third-party mediator only facilitates dialogue toward a mutual agreement and does not render a binding decision, whereas an arbitrator does render a binding decision.

Mediation uses a neutral third-party facilitator, while collaborative law involves no neutral mediator or arbitrator—each party negotiates through its own advocate (most often lawyers) toward a mutually beneficial settlement.

CPM graphically shows interdependent task relationships, simultaneous events, and the critical path that determines project duration, while bar chart/Gantt and calendar methods do not show interdependencies or the impact of a delay on other tasks.

An owner who sues for liquidated damages at the contract rate cannot also sue for actual damages, because the liquidated damages provision replaces the right to claim actual damages for the delay.

A response changing a term (e.g., proposing a lower price) is a counteroffer that binds neither party, while acceptance occurs only when both parties agree to the contract terms; the original offer may still be revived by further negotiation.

The cash method is simpler but does not match revenues with the expenses incurred to earn them, giving an inaccurate financial picture, which is why most construction businesses use the accrual method.

Straight-line spreads (cost − salvage) evenly over useful life, while MACRS is the IRS-approved accelerated method giving larger deductions in the earlier years of the asset's useful life.

Leasing requires no down payment, spreads lower payments over a longer period, allows lease payments as deductible operating expenses, and returns obsolete equipment to the owner, but purchasing usually costs less long-run and provides ownership/salvage value (leases generally cannot be cancelled).

Per 29 CFR 1926.502(b)(3) the top edge must withstand at least 200 pounds applied within 2 inches of the top edge in any outward or downward direction, while §1926.502(b)(5) requires 150 pounds for midrails, screens, mesh, and intermediate members.

If the owner requires acceleration (e.g., for early occupancy with no contractor fault), the owner is generally responsible for all associated costs; if acceleration is needed because of contractor-caused delays, the contractor is generally liable for the additional costs.

Under Virginia Code § 43-4 a general contractor claimant must also file, with the memorandum of lien, a certification of mailing a copy to the owner at the owner's last known address; claimants under §§ 43-7 and 43-9 are not required to do so.

The entity is liable for employment taxes (Social Security, Medicare, income tax withholding, FUTA), while income tax on S corporation income flows through to shareholders on Form 1040/Schedule E, and self-employment tax and estimated tax on Form 1040-ES are individual responsibilities.