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Humber College Exam 4: Invigilated Theory Exam Sample Questions (Q86-Q91):

NEW QUESTION # 86
When calculating the total purchase price of farmland with improvements on it, which of the following items is NOT included?

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

Answer: B

NEW QUESTION # 87
A lender completes a financial statement analysis and calculation on various ratios that would indicate the financial performance of the commercial building. Which of the following is NOT correct?

A. It does not matter; mortgaging does not affect cash flow and yields.
B. The success of ventures often rests in the availability and suitability of financing.
C. The investor is afforded the opportunity to enhance yield.
D. Lenders will apply various financial ratios to get a solid understanding of the business's performance and the ability of the borrower to service debt.

Answer: A

NEW QUESTION # 88
Utility requirements are different for retail, office, and industrial properties, and a salesperson should understand the utility needs of each client. Which of the following items is NOT required bya typical occupant of a retail space?

A. Sufficient lighting
B. A proper ventilation system
C. A stable internet connection
D. A high voltage and ampere supply

Answer: D

NEW QUESTION # 89
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 calculated based on the difference between the listing price and the actual rental price.
C. Remuneration can be an agreed amount or a percentage of the rental price, but not a combination of both.
D. 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.

Answer: D

NEW QUESTION # 90
A salesperson, who is representing a tenant, has completed a comparative market analysis (CMA) of the management fees charged, assessed on a square footage basis, at the different office buildings that their client is interested in leasing. The management fees vary across the comparable office buildings, and the tenant is interested to know why there is a difference. Which of the following is an accurate statement the salesperson can make about the difference in management fees between the buildings?

A. The salesperson should explain that a tenant occupying a smaller rentable area in a building pays higher management fees per square foot compared to a tenant with an average or larger rentable area.
B. The salesperson should tell the tenant that the Condominium Authority of Ontario regulates management fees charged by buildings as per their size.
C. The salesperson should identify the reasons for high management fees charged for a building and determine the relative value it provides.
D. The salesperson should tell their client that higher management fees charged for a building always indicates that the tenant is getting superior service and value.

Answer: C

NEW QUESTION # 91
......

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Exam Dumps PREX-1060A Free, New PREX-1060A Exam Papers

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Humber College Exam 4: Invigilated Theory Exam Sample Questions (Q86-Q91):

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