Chapter 8: Entrepreneurial Activities

By Jordan Naffa

True & False Questions:

1.) Precommitment are the stages of the development process which occur before the developer has committed significant resources to the project.

T/ F

2.)Postcommitment are the stages of the development process which occur during the developer has committed significant resources to the project

            T/ F

3.) The general contractor is a construction expert who contract with the developer.

T/ F

4.) Building codes are ordinances not enforceable by police power.

T/ F

5.) A bridge loan is a short-term loan.

T/ F

Question & Answer:

6.) A performance bond is an assurance made by

            a. A third party

            b. The contractor

c. The architect

d. The engineer

7.) A permanent loan is usually

a. Long term

            b. Short term

c.  About 1 year

d. Over 90 days

8.) A ‘CO’ is simply referred to as an

a. Contractual obligation

            b. Certificate of operation 

c. Certificate of occupancy

d. None of the above

Answers:

1.) T,            2.) F,             3.) T,             4.) F,             5.) T,             6.) A,             7.) A,             8.) C