In the garage conversion file, a fixture allowance is $8,250. The owner selects fixtures costing $9,040, with no markup on allowance overages. What adjustment is needed?
Correct Answer
C) $790 increase.
The selected package is $790 over the allowance, so the increase is $790.
Why This Is the Correct Answer
The selected package is $790 over the allowance, so the increase is $790.
Why the Other Options Are Wrong
Option A: $790 credit.
$790 credit. is not aligned with the supported result for allowance reconciliation; it has the wrong label or classification even if the number looks close.
Option B: $740 increase.
$740 increase. is below the supported result for allowance reconciliation; it likely uses the wrong base, period, or account bucket.
Option D: $17,290 total.
$17,290 total. is above the supported result for allowance reconciliation; it likely adds an unsupported amount or compares the wrong financial base.
Memory Technique
Reconciling Finish money test: bucket before math for allowance reconciliation.
Reference Hint
Study anchor (closed-book): memorize Allowance reconciliation from CSLB 2026 Law Book; CSLB Home Improvement Contracts / B&P Code Section 7159 home improvement contract requirements; know the rule or calculation trigger without relying on exam-room lookup.
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