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| Section | Objectives |
|---|---|
| Topic 1: Applied Capstone Assessment | - Real-World Scenario Application
|
| Topic 2: Environmental Health and Safety | - Risk and Compliance
|
| Topic 3: Property Management Operations | - Operational Decision Making
|
| Topic 4: Financial Management | - Asset Financial Analysis
|
| Topic 5: Asset Management | - Strategic Property Management
|
1. An investment firm recently purchased an office building and hired a property manager to operate the building. The property manager is evaluating whether to recommend replacement of single-pane windows with new energy-efficient windows for the entire building. The investment firm's desired rate of return is
12.5%, the project will cost $1,250,000, and the property manager estimates that the new windows will save
$125,000 in energy costs per year.
What is the payback period, and how much will the value of the building increase if the project is implemented?
A) The payback period is 12.5 years, and the increase in value is $15,625.
B) The payback period is 10 years, and the increase in value is $156,250.
C) The payback period is 10 years, and the increase in value is $1,000,000.
D) The payback period is 12.5 years, and the increase in value is $1,000,000.
2. A property manager is performing a risk assessment of a business continuity plan. What type of plan is a business continuity plan?
A) Backup plan
B) Service plan
C) Disaster plan
D) Emergency plan
3. A property manager has been given the responsibility for hiring and managing a leasing team. Which of the following is the MOST important to improve leasing outcomes?
A) Set obtainable goals.
B) Monitor performance and report to ownership.
C) Provide an adequate budget for marketing materials.
D) Determine an appropriate compensation structure.
4. A building owner is preparing space for a new tenant and has selected a preferred contractor. The property manager received an estimate for the construction, agreed on the overhead and profit, and settled on a construction cost. WhichBESTdescribes the process followed?
A) Competitive bid
B) Request for proposal (RFP)
C) Negotiated proposal
D) Single source
5. When developing a marketing plan for a building, which of the followingMOSTlikely determines whether a deal is reached?
A) Establishing the proper rent to quote and accept
B) Assessing the overall economic conditions in the market
C) Gathering detailed competitive building data to determine the relative position in the market
D) Identifying which benefits and/or features to emphasize
Solutions:
| Question # 1 Answer: D | Question # 2 Answer: C | Question # 3 Answer: A | Question # 4 Answer: C | Question # 5 Answer: A |
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