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Humber College Exam 4: Invigilated Theory Sample Questions:
1. A salesperson must ensure that a buyer client is aware of all revenue sources and expenses related to the property they are interested in purchasing. Which of the following is an accurate statement regarding potential revenue sources for a commercial property?
A) Commercial office owners have only one type of potential rental income, which is percentage rent, as the owner themselves pay for the operating expenses of the property.
B) Every commercial property, whether an office building, an industrial property, a retail property, or land, has a single source of revenue, which is the base rent.
C) Retail commercial property owners have three types of potential rental income: base rent, additional rent, and percentage rent.
D) Shopping centres with more than 150 stores typically have only two types of rental revenues to cover all the operating expenses of the property: base rent and additional rent.
2. A tenant is interested in leasing a property; however, the tenant would like to make improvements to the property. Which of the following statements about tenant improvements is correct?
A) The tenant takes the premises in an "as is" condition and can complete whatever improvements they wish without landlord approval.
B) In a lease agreement, the tenant provides a list of improvements to the landlord and the landlord always pays for these improvements.
C) The landlord may offer a "tenant improvement allowance" which provides funds to cover thecosts of tenant improvements.
D) Unless indicated in the lease agreement, improvements attached to the leased building generally become the tenant's property upon vacating the premises.
3. Which of the following is NOT determined by zoning bylaws?
A) The amount of rent a building may generate
B) The types of buildings that are permitted in a location, their height, and how they may be used
C) Lot dimensions and parking requirements
D) Where buildings and other structures may be located
4. A salesperson is drafting an agreement to lease a retail property for a tenant client who is looking to open a women's apparel store. Which of the following would NOT be included in the agreement to lease?
A) The names of all the tenant's suppliers
B) The commencement date of the lease
C) A description of the premises
D) The names of all parties to the lease
5. Established under the Farming and Food Production Protection Act, the Normal Farm PracticesBoard is composed of members appointed by the Minister of Agriculture, Food and Rural Affairs. Which statement is NOT accurate with regard to the Normal Farm Practices Board?
A) The Board can dismiss complaints if the disturbances are the result of normal farm practices.
B) The Board can conduct hearings that are heard by a minimum of five board members.
C) The Board can order farmers to modify practices for consistency with normal farm practices.
D) The Board can order farmers to cease practices that cause disturbances if they are not considered to be normal farm practices.
Solutions:
| Question # 1 Answer: C | Question # 2 Answer: C | Question # 3 Answer: A | Question # 4 Answer: A | Question # 5 Answer: B |






