Humber College Exam 4: Invigilated Theory - PREX-1060A FREE EXAM DUMPS QUESTIONS & ANSWERS]

Question 1

Which of the following is a risk associated with investing in commercial real estate?

A. The insufficiency of cash flow during the holding period B. The relative lack of liquidity C. The fact that rent, leased space, and building size are fixed D. The relative lack of capital growth during the holdover period

Discussion 0

Correct Answer: B Vote an answer

Question 2

A salesperson is helping a buyer identify their needs and property requirements to select an appropriate office property and they are discussing the office layout. Which of the following is NOTa layout consideration?

A. Fitting rooms B. Kitchens/lunchrooms C. Storage D. Boardrooms, private offices, and workstations

Discussion 0

Correct Answer: A Vote an answer

Question 3

Which of the following statements regarding heavy industrial use and light industrial use is correct?

A. Heavy industrial use usually results in less traffic in and out of the heavy industrial zone. B. Clay production is an example of light industrial use. C. Heavy industrial use can produce more pollution than other commercial activities. D. Light industrial use usually results in more noise and heavier traffic.

Discussion 0

Correct Answer: C Vote an answer

Question 4

When calculating the total purchase price of farmland with improvements on it, which of the following items is NOT included?

A. Fixed equipment B. Residence C. Barns and sheds D. Goodwill

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Correct Answer: D Vote an answer

Question 5

Location preferences and accessibility are important when matching a potential buyer client with an appropriate commercial property. Which of the following is NOT a location preference consideration?

A. Traffic counts B. Financial health of the company C. Demographics D. Surrounding uses

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Correct Answer: B Vote an answer

Question 6

Which of the following is a correct statement regarding a design-build arrangement in commercial real estate?

A. A design-build arrangement requires the buyer to acquire suitable land and construct a building themselves. B. A design-build arrangement means the buyer will only buy the property if the landowner builds a building to the buyer's specifications. C. A design-build arrangement is commonly associated with a seller's market. D. A design-build arrangement is a sale/leaseback arrangement.

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Correct Answer: B Vote an answer

Question 7

Which of the following is a characteristic of main street retail?

A. Comprises a blend of old and new stores B. Structure size typically ranges from 100,000 to 130,000 square feet C. Must be located in a small, older community D. Consists of newer, free-standing buildings only

Discussion 0

Correct Answer: A Vote an answer

Question 8

Which of the following statements about industrial building components is correct?

A. Floor load refers to the weight of the building during construction. B. Bay depth is an important consideration when determining the layout of an industrial process. C. Loading docks are only used to off-load products or raw materials. D. Flat roofs are designed to be flat to hold water.

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Correct Answer: B Vote an answer

Question 9

A salesperson is assisting both the tenant and the landlord in a commercial property rentaltransaction. Which of the following statements about calculating the remuneration for this transaction is correct?

A. Salespersons are prohibited from indicating directly that remuneration is fixed by any association but can indicate it indirectly. B. Remuneration can be an agreed amount or a percentage of the rental price, but not a combination of both. C. The tenant may be required to pay the deficiency between the contracted amount in the tenant representation agreement and the amount actually paid by the landlord. D. Remuneration can be calculated based on the difference between the listing price and the actual rental price.

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Correct Answer: C Vote an answer

Question 10

Many industrial users install one or more cranes on their properties to move heavy items. Which type of industrial crane has an arm attached at an angle to a rotating mast that permits 360-degree swiveling around that mast?

A. Jib crane B. Gantry crane C. Overhead crane D. Bridge crane

Discussion 0

Correct Answer: A Vote an answer