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Humber College Exam 4: Invigilated Theory Sample Questions:

1. In regard to equipment at an industrial property that is being shown for sale, a salesperson representing a buyer should do all of the following, EXCEPT:

A) Ensure chattels or fixtures are not included in the sale or negotiated for in the agreement.
B) Obtain clarification as to which equipment seen during the showing will be included in the purchase price of the property.
C) Contact the seller's representative prior to the showing to gain awareness of safety and compliance requirements.
D) Ensure they are informed as to whether the equipment shown will be relevant for the buyer's intended use.

2. A seller client wants to know the actual size of their unit to avoid any discrepancies. How should the salesperson assist the client?

A) Add a disclaimer to protect the seller from any discrepancy.
B) Use a laser measuring device to take the measurements.
C) Recommend the services of third-party professionals to measure it.
D) Tell the seller the usable size is 80 percent of the rentable size.

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, as the listing says the property is light industrial and multi-uses are permitted.
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 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.

4. When a property assessment of a new commercial property has not been completed prior to its resale, what should a salesperson do to protect the buyer?

A) Ensure the offer contains a clause allowing for compensation for adjustments to the property taxes.
B) Get a letter from the seller to guarantee a maximum amount of realty tax payment in the coming year.
C) Ensure the offer contains a clause requiring the seller and the buyer to share the property taxes to be assessed for the next three years.
D) Include the current tax assessment as a schedule of the agreement.

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

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

Solutions: