PROPERTY MANAGEMENT MOCK
EXAM #1 QUESTIONS & ANSWERS
PASSED ALREADY GRADED A+
All leases should require tenants to purchase ___________ insurance: - Correct
Answer ✔✔ Renters (HO-4)-- A tenant would purchase HO4 insurance to cover their
personal property in an apartment.
The ratio of rentable space to useable space is sometimes called: - Correct Answer ✔✔
Load factor-- The ratio is used on a multiple tenancy floor of an office building
Return on Investment (ROI) is: - Correct Answer ✔✔ Net income after taxes to money
invested in the property (equity)-- ROI = net income/equity x 100%
According to the Statute of Frauds of most states: - Correct Answer ✔✔ Leases of more
the one year must be in writing to be enforceable-- A lease of one year or less may be
verbal.
A broker that handles an owners money should be covered by a: - Correct Answer ✔✔
Surety bond-- A surety bond would protect the broker against loss due to employee
theft.
A condominium owner should be required to obtain: - Correct Answer ✔✔ HO-6
condominium insurance policy (covers personal property and any additions made by
owner)-- A problem in one unit may cause a problem in another.
The standard insurance policy does not cover damage from: - Correct Answer ✔✔
Flooding-- Flood insurance must be purchased separately. Lenders will require
coverage if a property lies in a flood hazard area.
A residential rental application may ask: - Correct Answer ✔✔ For past landlord
references-- Familial status, marital status and public assistance are protected classes.
Smaller residences and an increasing need to store business records have led to the
popularity of: - Correct Answer ✔✔ Mini storage areas--
Expedited relief references: - Correct Answer ✔✔ A law that enables a victim of
constructive eviction to have his/her appeal heard by a judge within eight days after the
constructive eviction-- A tenant may file an action with the court within five days. The
court will hold a hearing within three days.
A NNN lease includes what charges that are not included in a NN lease: - Correct
Answer ✔✔ Repair and maintenance-- A net lease would require the tenant to pay
EXAM #1 QUESTIONS & ANSWERS
PASSED ALREADY GRADED A+
All leases should require tenants to purchase ___________ insurance: - Correct
Answer ✔✔ Renters (HO-4)-- A tenant would purchase HO4 insurance to cover their
personal property in an apartment.
The ratio of rentable space to useable space is sometimes called: - Correct Answer ✔✔
Load factor-- The ratio is used on a multiple tenancy floor of an office building
Return on Investment (ROI) is: - Correct Answer ✔✔ Net income after taxes to money
invested in the property (equity)-- ROI = net income/equity x 100%
According to the Statute of Frauds of most states: - Correct Answer ✔✔ Leases of more
the one year must be in writing to be enforceable-- A lease of one year or less may be
verbal.
A broker that handles an owners money should be covered by a: - Correct Answer ✔✔
Surety bond-- A surety bond would protect the broker against loss due to employee
theft.
A condominium owner should be required to obtain: - Correct Answer ✔✔ HO-6
condominium insurance policy (covers personal property and any additions made by
owner)-- A problem in one unit may cause a problem in another.
The standard insurance policy does not cover damage from: - Correct Answer ✔✔
Flooding-- Flood insurance must be purchased separately. Lenders will require
coverage if a property lies in a flood hazard area.
A residential rental application may ask: - Correct Answer ✔✔ For past landlord
references-- Familial status, marital status and public assistance are protected classes.
Smaller residences and an increasing need to store business records have led to the
popularity of: - Correct Answer ✔✔ Mini storage areas--
Expedited relief references: - Correct Answer ✔✔ A law that enables a victim of
constructive eviction to have his/her appeal heard by a judge within eight days after the
constructive eviction-- A tenant may file an action with the court within five days. The
court will hold a hearing within three days.
A NNN lease includes what charges that are not included in a NN lease: - Correct
Answer ✔✔ Repair and maintenance-- A net lease would require the tenant to pay
