1-A property manager's first responsibility to the owner should be to
a. keep the building's occupancy rate at 100%.
b. report all day-to-day financial and operating decisions to the owner on a regular basis.
c. realize the highest return possible consistent with the owner's instructions.
d. ensure that the rental rates are below market average.
2. 2- The property manager's relationship with the owner is most similar to that of a
a. tenant with a landlord.
b. cashier with the owner of a store.
c. stockholder with the board of directors of a corporation.
d. salesperson with his or her broker.
3. 3- All of these should be included in a written management agreement EXCEPT
a. a list of the manager's duties and responsibilities.
b. a statement of the owner's purpose.
c. a statement identifying the manager's creditors.
d. an allocation of costs.
4. 4-If an apartment rents for $750 per month and the manager receives a 12% commission on all new tenants, how much will the manager receive when renting an apartment, assuming that this commission is calculated in the usual way?
a. $90
b. $750
c. $1,080
d. $1,800
5. 5-What is the annual rent per square foot for a 30 ft ´ 40 ft property that rents for $2,950 per month?
a. $l.20
b. $2.46
c. $24.65
d. $29.50
6. 6-Of these, a high vacancy rate MOST likely indicates
a. rental rates are too low.
b. the property is attractive.
c. building management is effective and responsive.
d. an undesirable property.
7. 7-Which of these is an example of corrective maintenance?
a. Seasonal recharge of refrigerant in an air conditioning unit
b. Picking up litter in common areas
c. Repairing a leaking water heater
d. Moving a partition wall to make a larger office
8. 8-How can tenants insure their personal belongings in apartments they rent?
a. Pay an extra fee so they are added to their landlord's commercial insurance
b. Obtain a surety bond
c. Obtain HO-4 or renter's insurance
d. Obtain errors and omissions (E&O) insurance
9. 9- Under the ADA, existing barriers MUST be removed
a. in all public buildings by the end of 2015.
b. only on request from a person with a disability.
c. even though reasonable alternative accommodation is more practical.
d. when removal may be accomplished in a readily achievable manner.
10. 10-A company was moving from one part of the city to another. During the move, a truck carrying computer equipment worth more than $250,000 accidentally ended up in a river, and the equipment was destroyed. Fortunately, the company was insured under several policies. The policy that would most likely cover the computer equipment during the move from one facility to another is a
a. consequential loss, use, and occupancy policy.
b. casualty policy.
c. contents and personal property policy.
d. liability policy.
11. 11-All of these are principal responsibilities of the property manager EXCEPT
a. forcibly removing tenants for nonpayment of rent.
b. generating income for the owners.
c. preserving and/or increasing the value of the property.
d. achieving the objectives of the owners.
12. 12-What is the purpose of an operating budget for a property manager?
a. It documents the month's actual income and expenses.
b. It is a guide for the property's financial performance in the future.
c. It presents the current cash flows in a standardized format.
d. It lists the assets, liabilities, and equity of the investment property.
13. 13-What type of plan does a property manager implement to manage renters who do NOT pay their rent in a timely way?
a. Eviction plan
b. Collection plan
c. Foreclosure plan
d. Cash flow plan
14. 14-One way that property managers meet the goals of ECOA is by
a. disqualifying tenant applicants on the basis of receiving welfare payments.
b. not evaluating certain tenant applicants through the use of credit reports.
c. establishing that certain buildings do not allow children as residents.
d. making sure to use the same lease application for every applicant.
15. 15-According to the Fair Housing Act, what is steering?
a. Channeling of protected class members to certain buildings or neighborhoods
b. Encouraging people to rent or sell by claiming that certain protected classes of people will have a negative impact on property values
c. An appropriate method to manage risks associated with rental property ownership
d. A method of providing reasonable accommodation for people with disabilities