Humber College PREX-1060A Exam Syllabus Topics:

Humber College Exam 4: Invigilated Theory Sample Questions:

1. A seller provides you with architectural drawings of their building. Which statement is NOT correct?

A) Architectural drawings are source documents.
B) Other types of source documents include surveys and tax records.
C) A photocopy of a source document can be used to verify information.
D) If changes are made to source documents, they are still valid if you have the original document.

2. If a retail unit has a usable area of 3,482 sq. ft. with a conversion rate of 1.1235, what would the tenant's rentable area be?

A) The retail tenant's rentable area would be 3,073 sq.ft.
B) The retail tenant's rentable area would be 3,482 sq. ft.
C) The retail tenant's rentable area would be 3,605 sq. ft.
D) The retail tenant's rentable area would be 3,912 sq.ft.

3. A salesperson negotiates the purchase of a retail property for their client, who plans to open a new store at this location. The client asks the salesperson how many parking spots the property will be required to have to meet the zoning requirements. The salesperson replies that the municipality has zoning requirements that set the minimum parking ratio. How will the municipality calculate the parking ratio?

A) The municipality will take the number of available parking spaces and divide it by the projected number of monthly visitors.
B) The municipality will take the number of available parking spaces and divide it by the property's gross leasable area.
C) The municipality will take the property's gross leasable area and divide it by the number of available parking spaces.
D) The municipality will take the number of available parking spaces and divide it by the property's net leasable area.

4. A landlord and a tenant have signed an agreement to lease an office space. Prior to the transaction closing, an unforeseeable event occurs that is not the fault of either party. Which statement about the return of the tenant's deposit is NOT correct?

A) The agreement may contain a clause forfeiting all of the deposit if the landlord has started work on the premises.
B) The parties may need to obtain a court order that clarifies how the deposit will be returned and distributed.
C) The landlord and tenant may agree to split the deposit.
D) The tenant can have the deposit back without signing a mutual release as it is not their fault.

5. An office building is being sold. The agreement of purchase and sale includes multiple conditions that protect the buyer. Each condition has a different expiry date, and they will be fulfilled and completed at different times. The conditions do not have waiver provisions. In this situation, all conditions can be removed by:

A) Serving one waiver
B) Serving separate notices of fulfillment
C) Serving one notice of fulfillment
D) Serving separate waivers

Solutions: