CMCA Practice Test Questions
And Correct Answers
C. A work order/response form - A, B, and D speak to elements OTHER than a control
to ensure maintenance work is completed.
Which of the following is a common management control for ensuring maintenance
work is performed in a timely manner?
A. A purchase order system
B. An equipment warranties
C. A work order/response form
D. A contractor's invoice
C. Maintenance responsibility chart along, with the governing documents, defines
parameters of association maintenance responsibility.
The other answers have no bearing on necessity of maintenance or maintenance
responsibility.
The primary management control tool for identifying whether the association needs to
maintain a particular property element is:
A. Physical inspections
B. Association bylaws
,C. Maintenance responsibility chart
D. Community asset inventory
B. Re-roofing the buildings - Large contracts involving significant material purchase
and/or use of sub-contractors commonly include lien waivers and should be
recommended to the board.
A, C, and D typically do not include significant material purchases or the use of sub-
contractors so a waiver of lien is not necessary.
In what type of a contract would a waiver of lien by recommended?
A. Repair of the HVAC system
B. Re-roofing the buildings
C. Repair of the pool pump
D. Annual tree pruning
B. Maintain certain limits of insurance - Co-insurance seeks to the limits of insurance
in place at the time of a loss and speaks to insurance obligation for the parties
involved in the claim.
Co-insurance does not obligate the Association to pay a deductible. Provides no
obligation to provide insurance for homeowners.
What does "Co-Insurance" obligate the Association to do?
,A. Pay the deductible
B. Maintain certain limits of insurance
C. Cover the depreciated value of all association buildings
D. Provide insurance for homeowners
A. Negotiate contracts within the bidding process.
Incorrect Answers:
B. Employment practices liability insurance is typically purchased by an association that
has employees to provide coverage against certain types of claims by those employees,
and usually accompanies a workers compensation insurance policy.
C. The association MUST NEVER assume that contractors carry their own insurance
coverage and should require all contractors to provide evidence of insurance.
D. D&O insurance policies is designed to pay for wrongful acts that do not lead to
property damage (PD), bodily injury (BI), personal injury (PI), or advertising injury (AI);
an example of a claim for coverage under D&O would be if a board of directors is
accused of not uniformly enforcing rules or covenants. Therefore, it is unlikely that the
services of independent contractors would lead to claims under D&O.
When an association contracts out all of its services and has no employees, it is a best
business practice to:
A. Negotiate contracts within the bidding process.
B. Purchase employment practices liability insurance.
C. Assume the contractors carry their own insurance coverage.
, D. Increase the coverage under the D&O insurance policy.
A. Did not notify association of their current address. It is the owner's responsibility to
provide current contact information to Management.
Incorrect:
B. The duty to notify all owners of meetings belongs to the Board, which is often
delegated to Management.
C. Signing a petition to hold a meeting is not legal notice of the meeting. The duty to
notify all owners of meetings belongs to the Board, which is often delegated to
Management.
D. The notice of meetings is sent to the "Owner of Record" at the last known address. In
the case of multiple owners sharing title to a unit, the owners of that unity have the
duty to notify the Board/Management which one of the owners will receive notices, and
provide current contact information.
If an owner fails to receive notice of a meeting, the association is not responsible if the
owner:
A. Did not notify association of their current address.
B. Does not usually attend the meetings.
C. Already signed the petition to call the meeting.
D. Shares title with multiple owners.
And Correct Answers
C. A work order/response form - A, B, and D speak to elements OTHER than a control
to ensure maintenance work is completed.
Which of the following is a common management control for ensuring maintenance
work is performed in a timely manner?
A. A purchase order system
B. An equipment warranties
C. A work order/response form
D. A contractor's invoice
C. Maintenance responsibility chart along, with the governing documents, defines
parameters of association maintenance responsibility.
The other answers have no bearing on necessity of maintenance or maintenance
responsibility.
The primary management control tool for identifying whether the association needs to
maintain a particular property element is:
A. Physical inspections
B. Association bylaws
,C. Maintenance responsibility chart
D. Community asset inventory
B. Re-roofing the buildings - Large contracts involving significant material purchase
and/or use of sub-contractors commonly include lien waivers and should be
recommended to the board.
A, C, and D typically do not include significant material purchases or the use of sub-
contractors so a waiver of lien is not necessary.
In what type of a contract would a waiver of lien by recommended?
A. Repair of the HVAC system
B. Re-roofing the buildings
C. Repair of the pool pump
D. Annual tree pruning
B. Maintain certain limits of insurance - Co-insurance seeks to the limits of insurance
in place at the time of a loss and speaks to insurance obligation for the parties
involved in the claim.
Co-insurance does not obligate the Association to pay a deductible. Provides no
obligation to provide insurance for homeowners.
What does "Co-Insurance" obligate the Association to do?
,A. Pay the deductible
B. Maintain certain limits of insurance
C. Cover the depreciated value of all association buildings
D. Provide insurance for homeowners
A. Negotiate contracts within the bidding process.
Incorrect Answers:
B. Employment practices liability insurance is typically purchased by an association that
has employees to provide coverage against certain types of claims by those employees,
and usually accompanies a workers compensation insurance policy.
C. The association MUST NEVER assume that contractors carry their own insurance
coverage and should require all contractors to provide evidence of insurance.
D. D&O insurance policies is designed to pay for wrongful acts that do not lead to
property damage (PD), bodily injury (BI), personal injury (PI), or advertising injury (AI);
an example of a claim for coverage under D&O would be if a board of directors is
accused of not uniformly enforcing rules or covenants. Therefore, it is unlikely that the
services of independent contractors would lead to claims under D&O.
When an association contracts out all of its services and has no employees, it is a best
business practice to:
A. Negotiate contracts within the bidding process.
B. Purchase employment practices liability insurance.
C. Assume the contractors carry their own insurance coverage.
, D. Increase the coverage under the D&O insurance policy.
A. Did not notify association of their current address. It is the owner's responsibility to
provide current contact information to Management.
Incorrect:
B. The duty to notify all owners of meetings belongs to the Board, which is often
delegated to Management.
C. Signing a petition to hold a meeting is not legal notice of the meeting. The duty to
notify all owners of meetings belongs to the Board, which is often delegated to
Management.
D. The notice of meetings is sent to the "Owner of Record" at the last known address. In
the case of multiple owners sharing title to a unit, the owners of that unity have the
duty to notify the Board/Management which one of the owners will receive notices, and
provide current contact information.
If an owner fails to receive notice of a meeting, the association is not responsible if the
owner:
A. Did not notify association of their current address.
B. Does not usually attend the meetings.
C. Already signed the petition to call the meeting.
D. Shares title with multiple owners.
