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Humber College PREX-1060A Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Commercial Real Estate Transactions | - Regulatory and professional obligations
|
Humber College Exam 4: Invigilated Theory Sample Questions:
The key mechanical components of commercial buildings include heating, cooling, and electrical systems.
Which of the following tasks is NOT usually completed by the salesperson?
- A. Ensuring inspections are being carried out as required.
- B. Reviewing whether the technical components have been recently replaced or upgraded.
- C. Learning what types of equipment are in the building and having a general understanding of their age and condition.
- D. Contacting contractors for quotes for repairing or replacing equipment.
Correct Answer: D 🗳️
Obtaining the size and boundaries of a commercial condominium unit is an important task for a salesperson.
Which of the following statements regarding this task is NOT correct?
- A. An Ontario Land Surveyor can be hired to measure the space.
- B. The original plans should be used to determine the size of a unit.
- C. Space should be measured in accordance with BOMA standards.
- D. An architect can be hired to measure the space.
Correct Answer: B 🗳️
Sometimes, transactions do not close. When a transaction won't be completed, what should a salesperson try to do as soon as possible?
- A. Pass the transaction to the broker of record so that the broker will take care of it.
- B. Terminate the transaction and disengage from it.
- C. Conduct an analysis of why the transaction will not be carried out.
- D. Obtain the remuneration owed.
Correct Answer: C 🗳️
A buyer client has hired a commercial appraiser to assess the market value of a fully tenanted commercial complex. The complex is mixed-use with retail on the main level and offices on the second and third levels. It is an older property with unique characteristics. Which of the following is NOT a correct statement regarding how the appraiser will determine the value of the property?
- A. The appraiser will research similar buildings, as commercial properties are usually bought and sold on a dollar value per square foot.
- B. The appraiser will assess the layout of the complex, as it will directly establish the utility of the mixed- use building.
- C. The appraiser will research the layout of other types of commercial buildings to establish the utility of the mixed-use building.
- D. The appraiser will assess how convenient it is to access the building and whether customers would be required to walk a significant distance within the mixed-use commercial complex to find a retailer.
Correct Answer: C 🗳️
A salesperson negotiates the purchase of a retail property for their client, who plans to open a new store at this location. The client asks the salesperson how many parking spots the property will be required to have to meet the zoning requirements. The salesperson replies that the municipality has zoning requirements that set the minimum parking ratio. How will the municipality calculate the parking ratio?
- A. The municipality will take the number of available parking spaces and divide it by the property's gross leasable area.
- B. The municipality will take the number of available parking spaces and divide it by the projected number of monthly visitors.
- C. The municipality will take the property's gross leasable area and divide it by the number of available parking spaces.
- D. The municipality will take the number of available parking spaces and divide it by the property's net leasable area.
Correct Answer: C 🗳️
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