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Humber College PREX-1060A Exam Syllabus Topics:

Humber College Exam 4: Invigilated Theory Sample Questions:

1. A seller client wants to know the actual size of their unit to avoid any discrepancies. How should the salesperson assist the client?

A) Use a laser measuring device to take the measurements.
B) Recommend the services of third-party professionals to measure it.
C) Tell the seller the usable size is 80 percent of the rentable size.
D) Add a disclaimer to protect the seller from any discrepancy.

2. Location preferences and accessibility are important when matching a potential buyer client with an appropriate commercial property. Which of the following is NOT a location preference consideration?

A) Demographics
B) Traffic counts
C) Surrounding uses
D) Financial health of the company

3. When discussing the sale of a business and establishing the asking price, there are questions a salesperson must ask the owner. Which of the following is one of them?

A) Is there any easement on the property?
B) Is the ownership of the building a corporation or a partnership?
C) What is the construction cost of the building?
D) Is inventory included in the sale of this business?

4. Both the landlord and the tenant have responsibilities in the management of their relationship as per the commercial lease agreement. Which of the following is NOT an accurate statement regarding the roles and responsibilities of landlords and tenants as per the Commercial Agreement to Lease?

A) All commercial leases require that tenants keep everything in and about the property, including all points of entry and exit, in good repair at all times.
B) The landlord must address their tenants' issues in a timely manner in general but more so when the issue can result in serious and costly consequences.
C) Not all commercial leases require the landlord to perform repairs and maintenance.
D) Tenants are obligated to ensure they have adequate tenant insurance for their property.

5. Which of the following accurately describes a landlord's commercial property insurance coverage?

A) A landlord's commercial property insurance policy should cover the loss of the tenant's assets and income due to business interruption as the result of a fire or flood.
B) A landlord's commercial property insurance policy should cover the loss of the property's equity due to a change in market conditions or to a recession.
C) A landlord's commercial property insurance policy should cover the loss of the tenant's assets due to theft from their employees or third parties.
D) A landlord's commercial property insurance policy should cover the loss of rental income in the event of a fire, for the period the premises is vacant while repairs are made.

Solutions: