A signed change has base cost of $2,350 and 12 percent markup. What total change amount should be listed?
Correct Answer
A) $2,632.
Markup is $2,350 x 12 percent = $282. The total change is $2,632.
Why This Is the Correct Answer
Markup is $2,350 x 12 percent = $282. The total change is $2,632.
Why the Other Options Are Wrong
Option B: $2,462.
$2,462. is below the supported result for change order markup calculation; it likely omits part of the approved scope, cap, credit, or holdback.
Option C: $2,585.
$2,585. is below the supported result for change order markup calculation; it likely omits part of the approved scope, cap, credit, or holdback.
Option D: $2,820.
$2,820. is above the supported result for change order markup calculation; it likely adds scope or money the rule does not allow.
Memory Technique
Two shelves for change order markup: cost side first or price side first.
Reference Hint
Study anchor (closed-book): memorize Change order markup calculation from CSLB 2026 Law Book; CSLB Home Improvement Contracts / Business and Professions Code Section 7159 written change order requirements; know the rule or calculation trigger without relying on exam-room lookup.
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