Humber College RESP Pre-Registration Phase PREX-1060A

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Humber College PREX-1060A Exam Syllabus Topics:

Humber College Exam 4: Invigilated Theory Sample Questions:

1. A salesperson is drafting an offer and discussing with the buyer the steps required for due diligencewhen purchasing a commercial condominium unit. All of the steps below are included in due diligence, EXCEPT:

A) Identify third-party professionals
B) Estimate time frames required for due diligence and other offer conditions
C) Create a business plan
D) Gather, organize, and verify all pertinent information

2. A tenant receives the keys to their new retail space. When the tenant opens the door, they see evidence of a small fire on the walls near the electrical panel. Which of the following is an appropriate recommendation the salesperson could provide to the new tenant?

A) Contact a lawyer and immediately start a legal action for damages.
B) Meet with the property manager, review the lease, and determine a course of action.
C) Repair the damage and deduct the cost from the rent.
D) Terminate the lease and start looking for a new space.

3. A land developer is interested in purchasing a piece of vacant land. Which of the following statements about evaluating the highest and best use of the real property is correct?

A) The land developer can identify the use of the property that is anticipated to produce the highest overall return so the appraiser can complete the appraisal.
B) A property's highest and best use is the use that, at the time the building was built, was most likely to produce the greatest net return.
C) A designated appraiser will use all factual sales data to determine the value of the current highest and best use of the property.
D) The estimate of value is related to how a typical buyer, with a reasonable knowledge of the market and property, wants to use the property.

4. If a retail unit has a usable area of 3,482 sq. ft. with a conversion rate of 1.1235, what would the tenant's rentable area be?

A) The retail tenant's rentable area would be 3,482 sq. ft.
B) The retail tenant's rentable area would be 3,073 sq.ft.
C) The retail tenant's rentable area would be 3,912 sq.ft.
D) The retail tenant's rentable area would be 3,605 sq. ft.

5. Examples of properties which would warrant a Phase 2 environmental assessment may include heavy industrial sites. Which of the following is NOT an example of a heavy industrial use?

A) Power stations
B) Computer training institute
C) Chemical manufacturers
D) Petroleum storage and distribution sites

Solutions: