Wednesday, February 9, 2011

Chapters 1-4

  1. Which of the following is not considered a real estate professional?
    1. Property manager
    2. Acquisition expert
    3. Broker
    4. Leasing agent

Answer: D

  1. Which is a corporate form of real estate ownership?
    1. Acquisition Trust
    2. REIT
    3. 401(k)
    4. FHA

Answer: B

  1. How do private Appraisers make money?
    1. From the government
    2. Commission from sale
    3. Charge a fee
    4. Steal it from the homeowner

Answer: C

T/F

  1. Real Estate is an inefficient market?

Answer: T

  1. A wood table drilled to the ground on a property is considered real property?

Answer: F

  1. A mortgage actually consists of two different assets?

Answer: T

  1. Bank of America is a commercial bank, specializing in meeting the needs of businesses?

Answer: T

  1. Real estate is a Homogeneous Product?

Answer: F

Chapter 2

Multiple Choice

  1. Real estate falls under which category of science?
    1. Plant science
    2. Construction science
    3. Social Science
    4. Land Science

Answer: C

  1. Which term is used to describe academic research designed to develop technologies to improve on what actually is?
    1. Prescription
    2. Description
    3. Engineering
    4. Applied Science

Answer: A

  1. A________ is an effective cognitive shortcut of judgment and decisions usually subconscious, employed due to limitations with human processing and short-term memory?
    1. Anchoring
    2. Bounded Rationality
    3. Generalizability
    4. Heuristics

Answer: D

T/F

1. Theory and hypothesis are terms only used in natural science?

Answer: F

2. To become a real estate developer you have to get your college degree in business?

Answer F

3. Data development method is a useful tool to determine if what land should be used for?

Answer: T

4. Real estate is an applied science?

Answer: F

5. One can learn about real estate from a private institution?

Answer: T

Chapter 3

Multiple Choice

  1. Who came up with the two state theory of human information processing?
    1. Von Thunen
    2. Simon
    3. Kuhn
    4. Adamson

Answer: B

  1. _______ is an expression used to explain the decision making step, usually the final step before the decision is made.
    1. Righteous feeling
    2. Defined feeling
    3. Gut feeling
    4. Task feeling

Answer: C

  1. In the United States we have a _______ appraisal process.
    1. Described
    2. Open
    3. Private
    4. Prescribed

Answer: D

T/F

1. An ill-defined problem is a problem that has a definite answer.

Answer: F

2. The task environment is a complex external environment in which decision makers operate.

Answer: T

3. A bias is an uncommon, systematic error in human information problem solving.

Answer: F

4. Surgeons tend to have a Heuristic approach to problem solving.

Answer: T

5. Human judgment is an important factor in real-estate decision making.

Answer: T

Chapter 4

Multiple Choice

  1. Which term describes the important location characteristics of a site?
    1. Situs
    2. Mitus
    3. Land Richness
    4. Land value gradiant

Answer: A

  1. _______ cost is the options forgone when you pursue a certain option.
    1. Transportation
    2. Choice
    3. Opportunity
    4. Better

Answer: C

  1. As you live further and further away from amenities, land rent or land value ______.
    1. Increases
    2. Decreases
    3. Stays the same
    4. Increases, then decreases

Answer: B

T/F

  1. The phrase highest and best use of land was coined by Herbert Simon.

Answer: T

  1. Urban economics is the study of rural areas.

Answer: F

3 Climate is a big factor when families are deciding where to buy a house.

Answer: T

  1. A competitive advantage is something all businesses strive for.

Answer: T

  1. High density residential is always furthest away from the CBD.

Answer: F

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