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Humber College PREX-1060A Exam Syllabus Topics:

Humber College Exam 4: Invigilated Theory Sample Questions:

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

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

2. In regard to cash flow into and out of a business, which of the following is correct?

A) Sales proceeds cash flow does not affect investor decisions.
B) Operating cash flow is used when determining yield on an investment property, while sales proceeds cash flow is not used for this purpose.
C) Operating cash flow can be positive or negative.
D) Sales proceeds cash flow is used when determining yield on an investment property, while operating cash flow is not used for this purpose.

3. A developer has completed the construction of a new commercial condominium project that is readyfor occupancy by the buyers. The condominium should be registered within approximately six months. Which of the following accurately describes a responsibility of the developer?

A) The developer will be responsible for much of the day-to-day management of the condominium corporation's affairs after the turnover meeting.
B) The developer will be responsible for registering the declaration and description and creating the plan and vision for the property.
C) The developer will be responsible for overseeing the business affairs of the condominium corporation after the turnover meeting.
D) The developer will be responsible for calling a general meeting within 21 days to appoint a new board of directors.

4. 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) Remuneration can be calculated based on the difference between the listing price and the actual rental price.
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.

5. A seller client wants to know the actual size of their unit to avoid any discrepancies. How should the salesperson assist the client?

A) Recommend the services of third-party professionals to measure it.
B) Tell the seller the usable size is 80 percent of the rentable size.
C) Use a laser measuring device to take the measurements.
D) Add a disclaimer to protect the seller from any discrepancy.

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