UNIT 20 PROPERTY MANAGEMENT
EXAM QUESTIONS AND ANSWERS
WITH VERIFIED SOLUTIONS 2024
When determining where risks lie in a building (such as pools, fire hazards, security issues, etc.),
professional property managers should consult with - ANSWER insurance professionals.
The property manager acts as a general agent to - ANSWER the property owner.
A property manager's minimizing or eliminating the potentially enormous losses that can result from
fire, water, accidents, or other causes is - ANSWER risk management.
The occupancy rate for the Mountain View Apartments has reached 98%. From the point of view of the
property manager, what might this indicate? - ANSWER Rents should be raised.
Joe is a new property manager for Capital City Apartments. He is in the process of establishing rental
rates for the units. What is Joe's basic concern in setting the rates? - ANSWER That income from the rent
covers expenses and provides a fair return on the investment
How should expenses such as repairs be addressed in a property manager's operating budget? -
ANSWER Allocation of a cash reserve fund
Do apartment managers need real estate licenses? - ANSWER Property owners and their onsite
employees do not require licenses to lease units.
Which of the following should NOT be a consideration in selecting a tenant? - ANSWER The racial and
ethnic background of the tenant
Hilda manages an apartment complex in downtown Houston. The apartments are always completely full,
with a waiting list to get in. Which of the following could be the cause of the high occupancy rate? -
ANSWER All of these could be the cause.
EXAM QUESTIONS AND ANSWERS
WITH VERIFIED SOLUTIONS 2024
When determining where risks lie in a building (such as pools, fire hazards, security issues, etc.),
professional property managers should consult with - ANSWER insurance professionals.
The property manager acts as a general agent to - ANSWER the property owner.
A property manager's minimizing or eliminating the potentially enormous losses that can result from
fire, water, accidents, or other causes is - ANSWER risk management.
The occupancy rate for the Mountain View Apartments has reached 98%. From the point of view of the
property manager, what might this indicate? - ANSWER Rents should be raised.
Joe is a new property manager for Capital City Apartments. He is in the process of establishing rental
rates for the units. What is Joe's basic concern in setting the rates? - ANSWER That income from the rent
covers expenses and provides a fair return on the investment
How should expenses such as repairs be addressed in a property manager's operating budget? -
ANSWER Allocation of a cash reserve fund
Do apartment managers need real estate licenses? - ANSWER Property owners and their onsite
employees do not require licenses to lease units.
Which of the following should NOT be a consideration in selecting a tenant? - ANSWER The racial and
ethnic background of the tenant
Hilda manages an apartment complex in downtown Houston. The apartments are always completely full,
with a waiting list to get in. Which of the following could be the cause of the high occupancy rate? -
ANSWER All of these could be the cause.
