FINC 371 Exam Prep Latest 2024 -2025 Complete
330 Actual Exam Questions with Correct
Detailed Answers (Verified Answers) Graded A+
What are the steps in conducting a market analysis (I think for a residential
area)? - Correct Answer - 1.) Delineation of Market Area
2.) Analysis of Recent Economic Trends in Local Market Area
3.) Determination of changes in Demand Factors
4.) Analysis of Potential Supply
What step in conducting a market analysis is determined by employment
opportunities and commuting ranges (commuter city? large city?); must
describe housing sub-market in which it will compete? - Correct Answer -
1.) Delineation of Market Area
What step in conducting a market analysis deals with past and current
trends in areas such as vacancy rates, absorption rates, and rental vs.
owner-occupied? - Correct Answer - 2.) Analysis of Recent Economic
Trends in the Local market area
What step in conducting a market analysis evaluates changes in economic
base (local / regional / national conditions); evaluates the pipeline of new
development and legislation changes; deals with areas such as
employment, disposable income, population, household characteristics,
absorption rate, etc.? - Correct Answer - 3.) Determination of Changes in
Demand Factors
pg. 1
,What step in conducting a market analysis evaluates potential demand and
what lies beyond recent trends; long gestation period; examine
developments in the pipeline? - Correct Answer - 4.) Analysis of Potential
Supply
What are the 3 steps in financial feasibility analysis? - Correct Answer - 1.)
Analyze Profitability
2.) Analyze Sources of Capital
3.) Analyze Timing of Cash Flows
What step of financial feasibility analysis considers unleveraged IRR / NPV
and leveraged IRR / NPV? - Correct Answer - Analyze Profitability
What step of financial feasibility analysis looks into equity vs. debt (senior
debt, junior debt, mezzanine financing, and equity investors); capital
stacking? - Correct Answer - Analyze Sources of Capital
What type of shopping center is a very large discount store (60K - 200K sf);
i.e. Target or Walmart? - Correct Answer - Super-store
What type of shopping center is a large strip type center that has multiple
"big box" stores; i.e. category killers, warehouse clubs, discount stores
(Walmart, Target, Lowe's, Home Depot, Sam's, Costco)? - Correct Answer -
Power Center
What type of shopping center focuses on unusual market segments (i.e.
high quality and high-priced goods in boutique-type stores)? - Correct
Answer - Specialty Shopping Center
pg. 2
,What type of shopping center is a manufacturer's retail outlet facility? -
Correct Answer - Factory Outlet Center
What are the steps of the market & feasibility analysis for the shopping
center development process? - Correct Answer - - Defining Trade Area
(primary & secondary)
- Determining the size of the market
- Analyzing competition (SWOT analysis)
- Site Location
What is a key element in the shopping center development process? -
Correct Answer - Tenant Selection
What type of market is where transactions of new and existing dwelling
units to new owners occur? - Correct Answer - Owner Occupied Residential
What is the quantity of the good or service that will be offered at various
prices? - Correct Answer - Supply
What is the quantity of the good or service that will be desired at various
prices? - Correct Answer - Demand
What is the price / quantity combination at which quantity demanded equals
quantity supplied? - Correct Answer - Equilibrium
What type of CRE market involves transactions for the rights to use land
and buildings? - Correct Answer - Space markets (Rental Markets)
pg. 3
, Who are the people, firms, and other entities willing to pay to use space for
consumption or production purposes in the space markets? - Correct
Answer - Demand ("Users")
What are some key features of the shopping center development proces? -
Correct Answer - - Visibility
- Signage
- Accessibility (i.e. AM / PM side of road)
What is the location of office activity centered around? - Correct Answer - -
CBDs
- Office Parks
- Proximity to hospitals, universities, shopping centers, and government
installations
What are the types of office products? - Correct Answer - - Small, multi-
tenant buildings
- Large skyscraper
What are typically located close to transportation facilities, water, power,
and other infrastructure? - Correct Answer - Industrial Parks
What are the element of industrial site analysis? - Correct Answer - -
Determine amount of existing or potential supply
- Forecast demand for additional developed building space
- Estimate absorption rate
- Compare competitive environment
pg. 4
330 Actual Exam Questions with Correct
Detailed Answers (Verified Answers) Graded A+
What are the steps in conducting a market analysis (I think for a residential
area)? - Correct Answer - 1.) Delineation of Market Area
2.) Analysis of Recent Economic Trends in Local Market Area
3.) Determination of changes in Demand Factors
4.) Analysis of Potential Supply
What step in conducting a market analysis is determined by employment
opportunities and commuting ranges (commuter city? large city?); must
describe housing sub-market in which it will compete? - Correct Answer -
1.) Delineation of Market Area
What step in conducting a market analysis deals with past and current
trends in areas such as vacancy rates, absorption rates, and rental vs.
owner-occupied? - Correct Answer - 2.) Analysis of Recent Economic
Trends in the Local market area
What step in conducting a market analysis evaluates changes in economic
base (local / regional / national conditions); evaluates the pipeline of new
development and legislation changes; deals with areas such as
employment, disposable income, population, household characteristics,
absorption rate, etc.? - Correct Answer - 3.) Determination of Changes in
Demand Factors
pg. 1
,What step in conducting a market analysis evaluates potential demand and
what lies beyond recent trends; long gestation period; examine
developments in the pipeline? - Correct Answer - 4.) Analysis of Potential
Supply
What are the 3 steps in financial feasibility analysis? - Correct Answer - 1.)
Analyze Profitability
2.) Analyze Sources of Capital
3.) Analyze Timing of Cash Flows
What step of financial feasibility analysis considers unleveraged IRR / NPV
and leveraged IRR / NPV? - Correct Answer - Analyze Profitability
What step of financial feasibility analysis looks into equity vs. debt (senior
debt, junior debt, mezzanine financing, and equity investors); capital
stacking? - Correct Answer - Analyze Sources of Capital
What type of shopping center is a very large discount store (60K - 200K sf);
i.e. Target or Walmart? - Correct Answer - Super-store
What type of shopping center is a large strip type center that has multiple
"big box" stores; i.e. category killers, warehouse clubs, discount stores
(Walmart, Target, Lowe's, Home Depot, Sam's, Costco)? - Correct Answer -
Power Center
What type of shopping center focuses on unusual market segments (i.e.
high quality and high-priced goods in boutique-type stores)? - Correct
Answer - Specialty Shopping Center
pg. 2
,What type of shopping center is a manufacturer's retail outlet facility? -
Correct Answer - Factory Outlet Center
What are the steps of the market & feasibility analysis for the shopping
center development process? - Correct Answer - - Defining Trade Area
(primary & secondary)
- Determining the size of the market
- Analyzing competition (SWOT analysis)
- Site Location
What is a key element in the shopping center development process? -
Correct Answer - Tenant Selection
What type of market is where transactions of new and existing dwelling
units to new owners occur? - Correct Answer - Owner Occupied Residential
What is the quantity of the good or service that will be offered at various
prices? - Correct Answer - Supply
What is the quantity of the good or service that will be desired at various
prices? - Correct Answer - Demand
What is the price / quantity combination at which quantity demanded equals
quantity supplied? - Correct Answer - Equilibrium
What type of CRE market involves transactions for the rights to use land
and buildings? - Correct Answer - Space markets (Rental Markets)
pg. 3
, Who are the people, firms, and other entities willing to pay to use space for
consumption or production purposes in the space markets? - Correct
Answer - Demand ("Users")
What are some key features of the shopping center development proces? -
Correct Answer - - Visibility
- Signage
- Accessibility (i.e. AM / PM side of road)
What is the location of office activity centered around? - Correct Answer - -
CBDs
- Office Parks
- Proximity to hospitals, universities, shopping centers, and government
installations
What are the types of office products? - Correct Answer - - Small, multi-
tenant buildings
- Large skyscraper
What are typically located close to transportation facilities, water, power,
and other infrastructure? - Correct Answer - Industrial Parks
What are the element of industrial site analysis? - Correct Answer - -
Determine amount of existing or potential supply
- Forecast demand for additional developed building space
- Estimate absorption rate
- Compare competitive environment
pg. 4
