EstatePass
NASCLAProcurement and Contracting Requirementsmedium

A bond premium is quoted at 0.8 percent of a $2,450,000 contract. What premium should be carried?

Correct Answer

D) $19,600

The premium is $2,450,000 x 0.008 = $19,600. Other choices move the decimal or apply the percentage to the wrong base.

Answer Options
A
$1,960
B
$9,800
C
$196,000
D
$19,600

Why This Is the Correct Answer

The premium is $2,450,000 x 0.008 = $19,600. Other choices move the decimal or apply the percentage to the wrong base.

Was this explanation helpful?

More NASCLA Questions

People Also Study

Related Study Resources

Practice More Contractor Exam Questions

Access all practice questions with progress tracking and adaptive difficulty to pass your Florida General Contractor exam.

Start Practicing

Disclaimer: EstatePass is an independent exam preparation platform and is not affiliated with, endorsed by, or connected to any state contractor licensing board, the Construction Industry Licensing Board (CILB), the Department of Business and Professional Regulation (DBPR), NASCLA, Pearson VUE, PSI, or any government agency. Exam requirements, fees, and regulations change frequently. Always verify current requirements with your state's licensing board before making decisions. Information shown was last verified on the dates indicated and may not reflect the most recent changes.