Humber College Exam 4: Invigilated Theory - PREX-1060A

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Humber College PREX-1060A Exam Syllabus Topics:

Humber College Exam 4: Invigilated Theory Sample Questions:

1. Which of the following is NOT determined by zoning bylaws?

A) Where buildings and other structures may be located
B) Lot dimensions and parking requirements
C) The types of buildings that are permitted in a location, their height, and how they may be used
D) The amount of rent a building may generate

2. A salesperson representing a client who is selling an office property has received some documents from the seller and is trying to organize them. Which of the following documents is NOT needed by the salesperson or seller when selling the property?

A) Private mortgage form
B) Telephone bills
C) Environmental site assessments
D) Income verification documents

3. A salesperson has a buyer client in the metal fabrication industry, which requires outdoor storage and involves substantial noise and smells. The salesperson sees a listing that says "24,000-square-foot light industrial property, multi-uses permitted." Is this a suitable property for their client? Why or why not?

A) Yes, the property is suitable since the client is already in the metal fabrication business, and does not need to get any permits from the municipality prior to moving in and using the property.
B) No, the property is not suitable, as the client's business type and classification require heavy industrial zoning.
C) Yes, the property will be suitable if the client states they will change the zoning to allow their type and classification of business to operate at this location.
D) Yes, the property is suitable, as the listing says the property is light industrial and multi-uses are permitted.

4. Sometimes, transactions do not close. When a transaction won't be completed, what should a salesperson try to do as soon as possible?

A) Conduct an analysis of why the transaction will not be carried out.
B) Terminate the transaction and disengage from it.
C) Obtain the remuneration owed.
D) Pass the transaction to the broker of record so that the broker will take care of it.

5. A salesperson is preparing to list an industrial building and wants to assess the availability and size of utilities, as these factors may prohibit a change in use for the potential buyer. Which of the following is correct?

A) The salesperson should conduct a visual inspection of the building to determine the specifications of the utilities.
B) The seller may have up-to-date documentation about the utilities but, in some situations, a third-party professional assessment is still needed.
C) If the information on the subject building's utilities is available, then a potential buyer will not put a condition in the offer.
D) If the information on the building's utilities is not available, the salesperson can determine it by finding out the specifications of the utilities of the neighbors.

Solutions: