Ohio Contractor's Business and Law Exam Practice Exam
Free Practice Exam
Test your knowledge with 10 questions from our pool of 20 free questions.
- 10 questions per attempt
- 30 minute time limit
- Unlimited attempts
- A new mix each time
- Instant results
Full Practice Exam
Complete exam simulation matching the real PSI test format.
- 50 questions (same as real exam)
- 120 minute time limit
- 11 topic areas covered
- 257 questions in pool
- Detailed explanations
Texts preferred · 9am–9pm Central
Ohio Contractor's Business and Law Practice Exam Guide
What's on the exam
Questions per topic, out of 50This practice exam follows the official content outline for the Ohio Contractor's Business and Law exam: Business Organization, Licensing, Estimating and Bidding, Contract Management, Project Management, Insurance and Bonding, OSHA Record Keeping and Safety, Personnel Regulations, Financial Management, Tax Laws, Lien Laws.
You can practice two ways. The free practice exam gives you 10 questions per attempt, and you can retake it whenever you like. The full practice exam gives you 50 questions on a 2 hours clock, with a new draw from our question bank each attempt.
Business Organization 2 items
Our study plan for this topic: C corporation formation, liability, taxation, and Ohio registration requirements; Limited Liability Company (LLC) structure, taxation, and Ohio registration; Business naming requirements and Ohio name registration procedures.
Licensing 3 items
Our study plan for this topic: Ohio Construction Industry Licensing Board structure and authority; License application requirements and eligibility criteria; Examination process and passing standards; License issuance, assignment to contracting company, and display requirements; License renewal requirements and continuing education obligations; Reciprocity agreements and out-of-state licensure; Disciplinary actions, violations, and penalties for licensed and unlicensed contractors; Inactive license status and reactivation procedures.
Estimating and Bidding 8 items
Contract Management 5 items
Project Management 4 items
Insurance and Bonding 5 items
Our study plan for this topic: Employment-related insurance requirements (workers' compensation, unemployment insurance, Social Security) including Ohio-specific rules; Federal and Ohio state bonding laws (Miller Act, Construction Industry Payment Protection Act of 1999, Ohio Little Miller Act requirements).
OSHA Record Keeping and Safety 5 items
Our study plan for this topic: OSHA Form 300, 300A, and 301 completion and posting requirements; Recordable vs. non-recordable injuries and illnesses (first aid definitions and recording criteria); OSHA injury decision tree for work-related incident determination; Retention periods for OSHA records, exposure records, and medical records; Reporting requirements for fatalities and multiple hospitalizations.
Personnel Regulations 5 items
Our study plan for this topic: New hire reporting requirements and deadlines (Ohio New Hire Reporting System); Workers' compensation coverage requirements and fraud prevention (ORC Chapter 4123); Ohio Minimum Fair Wage Standards and wage discrimination prohibitions (ORC Chapter 4111); Employment of minors in construction (work permits, hour restrictions, prohibited hazardous tasks).
Financial Management 6 items
Tax Laws 5 items
Our study plan for this topic: Ohio state taxes applicable to contractors (CAT, sales and use tax, individual income, withholding, municipal income tax); Ohio unemployment compensation employer obligations and quarterly reporting.
Lien Laws 2 items
Our study plan for this topic: Definition and purpose of mechanics' liens under Ohio Revised Code Chapter 1311; Parties entitled to mechanics' lien rights (original contractors, subcontractors, laborers, material suppliers); Notice of Commencement requirements, content, filing, and posting obligations; Notice of Furnishing requirements, deadlines, and consequences of late or missing filing; Affidavit for Mechanics' Lien filing deadlines by project type (residential, commercial, oil/gas); Priority of mechanics' liens relative to mortgage liens and among lien claimants; Discharging, releasing, and bonding around a mechanics' lien; Special rules for home construction contracts and residential lien limitations.
Sample 1 — Estimating and Bidding
Question: According to estimating best practices for residential builders, how close to actual construction costs should a good estimate fall?
- A. Within 5 percent to 10 percent
- B. Within 10 percent to 15 percent
- C. Within 3 percent to 5 percent
- D. Within 1 percent to 2 percent
Correct Answer: D
The reference material states that a good estimate will fall within 1 percent to 2 percent of actual construction costs, underscoring the importance of accuracy in the estimating process.
Reference: NASCLA Contractors Guide, Bidding and Estimating chapter — Estimate Planning section
Sample 2 — Financial Management
Question: Which financial statement summarizes a company's cash position and lists changes in cash based on operating, investing, and financing activities?
- A. Statement of cash flows
- B. Statement of owners' equity
- C. Income statement
- D. Balance sheet
Correct Answer: A
The statement of cash flows summarizes your current cash position, your cash sources, and use of these funds over a given period of time. It lists changes in cash based on operating, investing, and financing activities.
Reference: NASCLA Contractors Guide, Financial Management chapter — Statement of Cash Flows section
Sample 3 — Contract Management
Question: In alternative dispute resolution, which method uses a third-party decision-maker whose ruling is legally binding on all parties?
- A. Negotiation
- B. Collaborative law
- C. Mediation
- D. Arbitration
Correct Answer: D
Arbitration uses a third-party arbitrator or arbitrators to act as a judge to render a decision by which all parties are legally bound. Unlike mediation, where the mediator facilitates discussion but the parties set the terms, the arbitrator's decision (arbitral award) is legally binding. Nearly all states have adopted the federal Uniform Arbitration Act making arbitral awards binding by both state and federal law.
Reference: NASCLA Contractors Guide, Contract Management chapter — Arbitration section
Your first attempt tells you where you're starting from. After every attempt, the results page shows your score for each outline topic, so you can see what to study next. Compare your score with the real exam's passing score, 70% correct, and keep going until you pass consistently.
- Answer the questions you know first, and bookmark the rest. Our practice exams let you bookmark and come back.
- Return to your bookmarks on the second pass.
- Keep a steady pace. The real exam works out to about 2 minutes 24 seconds per question.
- After each attempt, look up each missed question's reference and read the section.
| Questions | 50 questions |
| Time limit | 2 hours |
| Passing score | 70% correct |
| Books in the exam room | Open book |
| Exam fee | $69 |
- Candidates receive a printed pass/fail score report immediately after the examination, with diagnostic information on failing reports.
- After failing an examination portion a candidate must wait 60 days before retesting and may retest up to 5 times in a year.
Source: Ohio Construction Industry Licensing Board, Department of Commerce, Division of Industrial Compliance – Contractor Trade Examinations Candidate Information Bulletin, Updated 2/7/2024. Check the bulletin before test day: fees and rules can change.