A $28,000 contract has an approved $2,000 change order. Forty percent of the adjusted work is complete, and the owner already paid a $1,000 down payment. What is the largest additional progress payment that keeps total paid at the value of work performed?
Correct Answer
C) $11,000
The adjusted contract is $30,000. Forty percent complete equals $12,000 of work value. After a $1,000 down payment, the additional payment is $11,000.
Why This Is the Correct Answer
The adjusted contract is $30,000. Forty percent complete equals $12,000 of work value. After a $1,000 down payment, the additional payment is $11,000.
Why the Other Options Are Wrong
Option A: $9,800
$9,800 is below the supported result for project contracts; it likely omits part of the approved scope, cap, credit, or holdback.
Option B: $12,000
$12,000 is above the supported result for project contracts; it likely adds scope or money the rule does not allow.
Option D: $13,000
$13,000 is above the supported result for project contracts; it likely adds scope or money the rule does not allow.
Memory Technique
Reconciling Progress cap: a grand or a tenth; the smaller gate opens.
Reference Hint
Study anchor (closed-book): memorize Project contracts from CSLB 2026 Law Book; CSLB Home Improvement Contracts / Business and Professions Code Section 7159; know the rule or calculation trigger without relying on exam-room lookup.
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