CERTIFIED PROPERTY MANAGER EXAM |
ULTIMATE QUESTION BANK WITH VERIFIED
CORRECT ANSWERS | GUARANTEED SUCCESS
1. Under the Federal Fair Housing Act (Title VIII of the
Civil Rights Act of 1968), a property manager may not
discriminate based on any of the following protected
classes EXCEPT:
A) Race
B) Religion
C) Source of income (e.g., Section 8)
D) Familial status
Correct answer: C
Rationale: Source of income is not a federally
protected class, but is protected in some states (e.g.,
California).
2. A property manager in California is screening a
tenant applicant. Under the California Consumer
Credit Reporting Agencies Act (CCRAA), the
manager must provide an adverse action notice to
the applicant if the decision is based on the credit
report. This notice must be provided within:
,A) 3 days
B) 5 days
C) 7 days
D) 10 days
Correct answer: C
Rationale: An adverse action notice (including the
name and address of the credit reporting agency)
must be provided within 7 days.
3. Under the Uniform Residential Landlord and
Tenant Act (URLTA), a landlord has a duty to
“mitigate damages” when a tenant breaks a lease.
This means the landlord must:
A) Sue the tenant for the full remaining rent
B) Make reasonable efforts to re-rent the property
C) Forgive the tenant’s debt
D) Raise the rent for the next tenant
Correct answer: B
Rationale: The duty to mitigate damages requires the
landlord to attempt to re-let the property to reduce
the former tenant’s liability.
,4. A Certified Property Manager (CPM) is preparing
an operating budget for a 200-unit apartment
complex. Under standard property management
accounting, the “Net Operating Income” (NOI) is
calculated as:
A) Gross Potential Rent minus Vacancy and
Collection Loss
B) Gross Operating Income minus Operating
Expenses
C) Effective Gross Income minus Capital
Expenditures
D) Net Income minus Debt Service
Correct answer: B
Rationale: NOI = Gross Operating Income (rents +
other income) – Operating Expenses (excluding debt
service and capital improvements).
5. Under the Americans with Disabilities Act (ADA), a
property manager of a commercial office building
must provide “reasonable accommodations” for
disabled tenants. A “reasonable accommodation”
could include:
, A) Installing a wheelchair ramp at the tenant’s
expense
B) Allowing a service animal in a “no pets” building
C) Reducing the rent for disabled tenants
D) Ignoring accessibility requests
Correct answer: B
Rationale: Service animals are a reasonable
accommodation under the ADA and FHA.
6. A property manager in California is holding a
tenant’s security deposit. Under California Civil Code
§1950.5, the manager must return the deposit within
how many days after the tenant moves out?
A) 14 days
B) 21 days
C) 30 days
D) 45 days
Correct answer: B
Rationale: California requires return of the deposit
(or an itemized statement) within 21 days.
ULTIMATE QUESTION BANK WITH VERIFIED
CORRECT ANSWERS | GUARANTEED SUCCESS
1. Under the Federal Fair Housing Act (Title VIII of the
Civil Rights Act of 1968), a property manager may not
discriminate based on any of the following protected
classes EXCEPT:
A) Race
B) Religion
C) Source of income (e.g., Section 8)
D) Familial status
Correct answer: C
Rationale: Source of income is not a federally
protected class, but is protected in some states (e.g.,
California).
2. A property manager in California is screening a
tenant applicant. Under the California Consumer
Credit Reporting Agencies Act (CCRAA), the
manager must provide an adverse action notice to
the applicant if the decision is based on the credit
report. This notice must be provided within:
,A) 3 days
B) 5 days
C) 7 days
D) 10 days
Correct answer: C
Rationale: An adverse action notice (including the
name and address of the credit reporting agency)
must be provided within 7 days.
3. Under the Uniform Residential Landlord and
Tenant Act (URLTA), a landlord has a duty to
“mitigate damages” when a tenant breaks a lease.
This means the landlord must:
A) Sue the tenant for the full remaining rent
B) Make reasonable efforts to re-rent the property
C) Forgive the tenant’s debt
D) Raise the rent for the next tenant
Correct answer: B
Rationale: The duty to mitigate damages requires the
landlord to attempt to re-let the property to reduce
the former tenant’s liability.
,4. A Certified Property Manager (CPM) is preparing
an operating budget for a 200-unit apartment
complex. Under standard property management
accounting, the “Net Operating Income” (NOI) is
calculated as:
A) Gross Potential Rent minus Vacancy and
Collection Loss
B) Gross Operating Income minus Operating
Expenses
C) Effective Gross Income minus Capital
Expenditures
D) Net Income minus Debt Service
Correct answer: B
Rationale: NOI = Gross Operating Income (rents +
other income) – Operating Expenses (excluding debt
service and capital improvements).
5. Under the Americans with Disabilities Act (ADA), a
property manager of a commercial office building
must provide “reasonable accommodations” for
disabled tenants. A “reasonable accommodation”
could include:
, A) Installing a wheelchair ramp at the tenant’s
expense
B) Allowing a service animal in a “no pets” building
C) Reducing the rent for disabled tenants
D) Ignoring accessibility requests
Correct answer: B
Rationale: Service animals are a reasonable
accommodation under the ADA and FHA.
6. A property manager in California is holding a
tenant’s security deposit. Under California Civil Code
§1950.5, the manager must return the deposit within
how many days after the tenant moves out?
A) 14 days
B) 21 days
C) 30 days
D) 45 days
Correct answer: B
Rationale: California requires return of the deposit
(or an itemized statement) within 21 days.
