HRB FINAL COMPREHENSIVE STUDY
GUIDE 2026 FULL QUESTIONS AND
SOLUTIONS GRADED A+
◍ What Act prevents foreign investors from avoiding paying taxes on the sale
of real property?The American Foreign Policy ActThe Property and
Immigration ActThe Foreign Intelligence Surveillance ActThe Foreign
Investment in Real Property Tax Act.
Answer: The Foreign Investment in Real Property Tax Act
◍ In a CAR Residential Purchase Agreement, who is responsible for repairing
any damages that occur as a result of inspections?The sellerThe brokerThe
buyerThe inspector.
Answer: The buyer
◍ Which of the following is NOT characteristic of IT-enabled value?
(CHAP7).
Answer: IT value is not variable across organizations
◍ Which of the following is an example of intangible value?.
Answer: Improved collaboration
◍ Of the four classes of investment identified by Ross and Beath, which
involves upgrading core IT infrastructure and applications, reducing the
costs, or improving the quality of IT services?.
Answer: Renewal
◍ What rules should brokers follow to decrease the possibility of
lawsuits?Property inspection rulesOffice policy rulesLicensing rulesAgency
disclosure rules.
Answer: Licensing rules
,◍ Arbitration is an out of court settlement procedure wherethe third party has
the power to make a binding decision.the third party attempts to create a
compromise.the third party conducts a discovery.the third party consults
with the judge..
Answer: the third party has the power to make a binding decision
◍ What did the author describe as a cornerstone in examining IT value?.
Answer: IT project proposal
◍ Plants and crops that grow naturally, without requiring anyone's labor or
machinery, are consideredcommunity property.real
property.emblements.personal property..
Answer: personal property.
◍ Who sets the amount or rate of real estate commissions?The real estate
boardThe escrow agentThe lenderThe broker.
Answer: the broker
◍ Which common financial measure is calculated by subtracting the initial
investment from the future cash flows that result from the investment?.
Answer: Net present value
◍ What term describes the borrower in a mortgage?A creditorA mortgageeA
mortgage lenderA mortgagor.
Answer: A mortgagor
◍ What type of variance permits an applicant to vary one or more of the
dimensional or physical requirements of the applicable zoning law, code or
ordinance in connection with some proposed construction?A zoning
varianceA use varianceA code varianceAn area variance.
Answer: an area varinace
◍ What informs buyers and prospective tenants of the registered sex offender
database that can be searched to identify if any sex offenders are near a
property?Identifying a Registered Sex Offender PamphletNotice Regarding
Database of Location of Registered Sex OffendersA Sex Offender
Disclosure FormA Property Disclosure Statement.
, Answer: Notice Regarding Database of Location of Registered Sex
Offenders ?
◍ Joe has a lease that specifies rent and other requirements, but it does not
have an expiration date or renewal cycle. What kind of leasehold estate is
it?Estate at SufferanceEstate at WillEstate for Period-to-PeriodEstate for
Years.
Answer: Estate at Will
◍ Which fiduciary duty requires an agent to place the client's interests above
those of all others, including his or her
own?HonestyLoyaltyAccountabilityDisclosure.
Answer: Loyalty
◍ A projection with great certainty that people will use the system in specific
ways in an example of which common proposal problem?.
Answer: Reliance on complex behavior
◍ An unplanned, sudden deterioration in the organization's fiscal performance
that may slow a project is an example of which common proposal problem?.
Answer: Unwarranted optimism
◍ Which of the following was NOT discussed by the authors as a step to
ensuring the delivery of value?.
Answer: Invest more resources
◍ In the process of increasing accountability for investments, who should
defend the IT investment?.
Answer: Business owners
◍ Why should IT projects be reviewed in a forum that routinely reviews
similar requests?.
Answer: All of the above
◍ Of the four types of IT investments in a portfolio identified by Weill and
Aral, which includes applications that support core operations process?.
Answer: Transactional
GUIDE 2026 FULL QUESTIONS AND
SOLUTIONS GRADED A+
◍ What Act prevents foreign investors from avoiding paying taxes on the sale
of real property?The American Foreign Policy ActThe Property and
Immigration ActThe Foreign Intelligence Surveillance ActThe Foreign
Investment in Real Property Tax Act.
Answer: The Foreign Investment in Real Property Tax Act
◍ In a CAR Residential Purchase Agreement, who is responsible for repairing
any damages that occur as a result of inspections?The sellerThe brokerThe
buyerThe inspector.
Answer: The buyer
◍ Which of the following is NOT characteristic of IT-enabled value?
(CHAP7).
Answer: IT value is not variable across organizations
◍ Which of the following is an example of intangible value?.
Answer: Improved collaboration
◍ Of the four classes of investment identified by Ross and Beath, which
involves upgrading core IT infrastructure and applications, reducing the
costs, or improving the quality of IT services?.
Answer: Renewal
◍ What rules should brokers follow to decrease the possibility of
lawsuits?Property inspection rulesOffice policy rulesLicensing rulesAgency
disclosure rules.
Answer: Licensing rules
,◍ Arbitration is an out of court settlement procedure wherethe third party has
the power to make a binding decision.the third party attempts to create a
compromise.the third party conducts a discovery.the third party consults
with the judge..
Answer: the third party has the power to make a binding decision
◍ What did the author describe as a cornerstone in examining IT value?.
Answer: IT project proposal
◍ Plants and crops that grow naturally, without requiring anyone's labor or
machinery, are consideredcommunity property.real
property.emblements.personal property..
Answer: personal property.
◍ Who sets the amount or rate of real estate commissions?The real estate
boardThe escrow agentThe lenderThe broker.
Answer: the broker
◍ Which common financial measure is calculated by subtracting the initial
investment from the future cash flows that result from the investment?.
Answer: Net present value
◍ What term describes the borrower in a mortgage?A creditorA mortgageeA
mortgage lenderA mortgagor.
Answer: A mortgagor
◍ What type of variance permits an applicant to vary one or more of the
dimensional or physical requirements of the applicable zoning law, code or
ordinance in connection with some proposed construction?A zoning
varianceA use varianceA code varianceAn area variance.
Answer: an area varinace
◍ What informs buyers and prospective tenants of the registered sex offender
database that can be searched to identify if any sex offenders are near a
property?Identifying a Registered Sex Offender PamphletNotice Regarding
Database of Location of Registered Sex OffendersA Sex Offender
Disclosure FormA Property Disclosure Statement.
, Answer: Notice Regarding Database of Location of Registered Sex
Offenders ?
◍ Joe has a lease that specifies rent and other requirements, but it does not
have an expiration date or renewal cycle. What kind of leasehold estate is
it?Estate at SufferanceEstate at WillEstate for Period-to-PeriodEstate for
Years.
Answer: Estate at Will
◍ Which fiduciary duty requires an agent to place the client's interests above
those of all others, including his or her
own?HonestyLoyaltyAccountabilityDisclosure.
Answer: Loyalty
◍ A projection with great certainty that people will use the system in specific
ways in an example of which common proposal problem?.
Answer: Reliance on complex behavior
◍ An unplanned, sudden deterioration in the organization's fiscal performance
that may slow a project is an example of which common proposal problem?.
Answer: Unwarranted optimism
◍ Which of the following was NOT discussed by the authors as a step to
ensuring the delivery of value?.
Answer: Invest more resources
◍ In the process of increasing accountability for investments, who should
defend the IT investment?.
Answer: Business owners
◍ Why should IT projects be reviewed in a forum that routinely reviews
similar requests?.
Answer: All of the above
◍ Of the four types of IT investments in a portfolio identified by Weill and
Aral, which includes applications that support core operations process?.
Answer: Transactional
