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1. A building owner and general contractor sign a contract to build an addition to a retail shopping center. Both parties agree to include a provision that specifies an amount of money to be paid by one party that is in material breach to the other party. This provision is often used when the sum of damages is difficult to predict in advance of contract execution. What is this provision called?
A) Consequential damages
B) Liquidated damages
C) Expectation damages
D) Restitution
2. The manager of a Class B commercial office building has decided to create a plan to evaluate heating, ventilating, and air-conditioning (HVAC) system operations and performance. What is theMOST comprehensive approach to accomplish this goal?
A) Create a high-level preventive maintenance plan that lists challenges to efficient system operations.
B) Conduct a site tour of all mechanical rooms to identify aging equipment that can be replaced.
C) Write a memo to building occupants outlining strategies for energy efficiency.
D) Advise the building owner that an outside energy consultant must be hired to evaluate building envelope efficiency.
3. The risk management process is designed to prevent a loss from occurring or to minimize the consequences of a loss after an incident has occurred.
Which of the following are the threePRIMARYclassifications of loss exposures?
A) Capital losses, operating losses and liability losses
B) Insurance losses, lien losses and title losses
C) Contract losses, personnel losses and force majeure losses
D) Liability losses, personnel losses and property losses
4. A property manager is using multiple approaches to develop a capital plan. The property manager is considering replacement of existing equipment, repair of building components, and building upgrades. Which is theMOSTcomprehensive approach to this task?
A) Lifecycle costing (LCC)
B) Depreciation analysis
C) Net present value (NPV)
D) Asset allocation
5. The owner of a building wants feedback from building occupants regarding building services. What is the MOSTeffective way for the property manager to collect this information?
A) Implement a tenant satisfaction program.
B) Conduct a facility condition assessment.
C) Install a suggestion box in the lobby.
D) Contact tenants on an ad hoc basis.
Solutions:
| Question # 1 Answer: B | Question # 2 Answer: D | Question # 3 Answer: D | Question # 4 Answer: A | Question # 5 Answer: A |
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