FLORIDA COMMUNITY ASSOCIATION MANAGER (CAM) LICENSING EXAM –
QUESTIONS AND ANSWERS | EXAM TESTBANK WITH VERIFIED AND WELL
DETAILED ANSWERS | PLUS RATIONALES | DOWNLOAD AND PASS | LATEST
EXAM UPDATE 2026/2027
Core Domains
Florida Statutes, Chapter 718 (Condominiums) and Chapter 720 (Homeowners'
Associations)
The Administrative Rules of the Florida Department of Business and Professional
Regulation (DBPR), Division of Florida Condominiums, Timeshares, and Mobile
Homes
Community Association Governance and Board Operations
Financial Management, Budgeting, and Reserve Planning
Insurance, Risk Management, and Fiduciary Responsibility
Contract Negotiation, Vendor Management, and Employment Law
Maintenance, Safety, and Physical Property Management
Ethics, Professional Standards, and Conflict Resolution
Introduction
This comprehensive examination has been developed to assess the knowledge,
skills, and critical thinking abilities required of a licensed Community Association
Manager (CAM) in the state of Florida. The exam covers a wide spectrum of
responsibilities, from navigating complex legal frameworks and regulatory
compliance to the practical application of financial management, risk mitigation,
and effective communication. Through a combination of multiple-choice and
scenario-based questions, candidates are challenged to apply their understanding
to real-world situations they will encounter daily. The focus is not merely on rote
memorization but on sound, professional decision-making that protects the
interests of the association and its members. This document is a definitive study
,resource, meticulously crafted to mirror the structure and complexity of the official
state licensing exam, with detailed rationales provided for every answer to ensure a
deep understanding of the subject matter.
SECTION ONE: QUESTIONS 1 – 50
1. A community association manager is preparing the annual budget for a
condominium with a significant number of deferred maintenance projects.
According to Florida law, which of the following is the most accurate statement
regarding reserve accounts?
A. Reserves are optional for all condominium associations and can be waived each
year by a majority vote of the board.
B. Reserves are mandatory for all associations, and the amount must be calculated
based on the previous year’s expenses.
C. Reserves may be waived or reduced by a vote of the membership, but the
board must include a reserve schedule in the budget for certain major
components.
D. Reserves are only required for new construction and are not applicable to
established communities.
🟢 Correct Answer: C. Reserves may be waived or reduced by a vote of the
membership, but the board must include a reserve schedule in the budget for
certain major components.
🔴 Explanation: Under Chapter 718 (Condominiums) and 720 (HOA), the board
must prepare a reserve schedule for the repair and replacement of major
components. The full funding of reserves can be waived or reduced by a majority
vote of the membership, but the schedule itself must still be presented.
,2. Under the provisions of the Florida Administrative Code, Rule 61B-23, what is
the maximum number of votes a single unit owner can exercise in a condominium
association election?
A. The number of votes is unlimited, regardless of the number of units owned.
B. The voting interest is limited to the number of votes allocated to the units they
own, but they cannot exceed 50% of the total voting interests.
C. An owner can only cast one vote, irrespective of the number of units they own.
D. The owner can assign their votes to other owners to increase their total voting
power.
🟢 Correct Answer: B. The voting interest is limited to the number of votes
allocated to the units they own, but they cannot exceed 50% of the total voting
interests.
🔴 Explanation: Rule 61B-23 provides that while an owner may vote all of the
voting interests assigned to the units they own, no unit owner may exercise more
than 50% of the total voting interests in the association in a single election. This
prevents a single owner from having complete control.
3. A CAM is reviewing the association’s insurance policies. Which of the following
is the best description of a fiduciary responsibility regarding insurance?
A. To secure the lowest premium possible, even if it means reducing coverage
limits.
B. To purchase the minimum amount of insurance required by the association's
bylaws.
C. To exercise prudent judgment to protect the association’s assets by obtaining
adequate coverage.
D. To self-insure for all potential liabilities to save money for the association.
🟢 Correct Answer: C. To exercise prudent judgment to protect the association’s
assets by obtaining adequate coverage.
, 🔴 Explanation: Board members and managers have a fiduciary duty to act in the
best interest of the association. This includes taking reasonable steps to protect
the association's assets by obtaining appropriate insurance coverage to mitigate
risks, not simply choosing the cheapest option or the legal minimum.
4. A condominium association is considering a material alteration to the common
elements, such as replacing the existing pool deck with a new design. What is
generally required under Chapter 718 for such an action?
A. A simple majority vote of the board of directors at a properly noticed board
meeting.
B. A majority vote of the members present at a meeting, regardless of a quorum.
C. Approval by a majority of the total voting interests of the association, unless
the declaration provides otherwise.
D. No approval is needed if the alteration is considered an "improvement" to the
property.
🟢 Correct Answer: C. Approval by a majority of the total voting interests of the
association, unless the declaration provides otherwise.
🔴 Explanation: Florida Statute 718.113(2) states that an association shall not
make a material alteration or substantial addition to the common elements
without the approval of a majority of the total voting interests of the association,
unless the declaration provides for a higher percentage. This protects the
collective ownership interest in the common property.
5. A CAM is managing a homeowners' association (HOA) that has received a
complaint about a homeowner constructing a shed in their backyard without
prior approval. The HOA's governing documents require architectural approval.
What is the manager's first and most important course of action?
A. Immediately fine the homeowner for violating the architectural guidelines.
B. Contact the homeowner to inform them of the violation and the required
QUESTIONS AND ANSWERS | EXAM TESTBANK WITH VERIFIED AND WELL
DETAILED ANSWERS | PLUS RATIONALES | DOWNLOAD AND PASS | LATEST
EXAM UPDATE 2026/2027
Core Domains
Florida Statutes, Chapter 718 (Condominiums) and Chapter 720 (Homeowners'
Associations)
The Administrative Rules of the Florida Department of Business and Professional
Regulation (DBPR), Division of Florida Condominiums, Timeshares, and Mobile
Homes
Community Association Governance and Board Operations
Financial Management, Budgeting, and Reserve Planning
Insurance, Risk Management, and Fiduciary Responsibility
Contract Negotiation, Vendor Management, and Employment Law
Maintenance, Safety, and Physical Property Management
Ethics, Professional Standards, and Conflict Resolution
Introduction
This comprehensive examination has been developed to assess the knowledge,
skills, and critical thinking abilities required of a licensed Community Association
Manager (CAM) in the state of Florida. The exam covers a wide spectrum of
responsibilities, from navigating complex legal frameworks and regulatory
compliance to the practical application of financial management, risk mitigation,
and effective communication. Through a combination of multiple-choice and
scenario-based questions, candidates are challenged to apply their understanding
to real-world situations they will encounter daily. The focus is not merely on rote
memorization but on sound, professional decision-making that protects the
interests of the association and its members. This document is a definitive study
,resource, meticulously crafted to mirror the structure and complexity of the official
state licensing exam, with detailed rationales provided for every answer to ensure a
deep understanding of the subject matter.
SECTION ONE: QUESTIONS 1 – 50
1. A community association manager is preparing the annual budget for a
condominium with a significant number of deferred maintenance projects.
According to Florida law, which of the following is the most accurate statement
regarding reserve accounts?
A. Reserves are optional for all condominium associations and can be waived each
year by a majority vote of the board.
B. Reserves are mandatory for all associations, and the amount must be calculated
based on the previous year’s expenses.
C. Reserves may be waived or reduced by a vote of the membership, but the
board must include a reserve schedule in the budget for certain major
components.
D. Reserves are only required for new construction and are not applicable to
established communities.
🟢 Correct Answer: C. Reserves may be waived or reduced by a vote of the
membership, but the board must include a reserve schedule in the budget for
certain major components.
🔴 Explanation: Under Chapter 718 (Condominiums) and 720 (HOA), the board
must prepare a reserve schedule for the repair and replacement of major
components. The full funding of reserves can be waived or reduced by a majority
vote of the membership, but the schedule itself must still be presented.
,2. Under the provisions of the Florida Administrative Code, Rule 61B-23, what is
the maximum number of votes a single unit owner can exercise in a condominium
association election?
A. The number of votes is unlimited, regardless of the number of units owned.
B. The voting interest is limited to the number of votes allocated to the units they
own, but they cannot exceed 50% of the total voting interests.
C. An owner can only cast one vote, irrespective of the number of units they own.
D. The owner can assign their votes to other owners to increase their total voting
power.
🟢 Correct Answer: B. The voting interest is limited to the number of votes
allocated to the units they own, but they cannot exceed 50% of the total voting
interests.
🔴 Explanation: Rule 61B-23 provides that while an owner may vote all of the
voting interests assigned to the units they own, no unit owner may exercise more
than 50% of the total voting interests in the association in a single election. This
prevents a single owner from having complete control.
3. A CAM is reviewing the association’s insurance policies. Which of the following
is the best description of a fiduciary responsibility regarding insurance?
A. To secure the lowest premium possible, even if it means reducing coverage
limits.
B. To purchase the minimum amount of insurance required by the association's
bylaws.
C. To exercise prudent judgment to protect the association’s assets by obtaining
adequate coverage.
D. To self-insure for all potential liabilities to save money for the association.
🟢 Correct Answer: C. To exercise prudent judgment to protect the association’s
assets by obtaining adequate coverage.
, 🔴 Explanation: Board members and managers have a fiduciary duty to act in the
best interest of the association. This includes taking reasonable steps to protect
the association's assets by obtaining appropriate insurance coverage to mitigate
risks, not simply choosing the cheapest option or the legal minimum.
4. A condominium association is considering a material alteration to the common
elements, such as replacing the existing pool deck with a new design. What is
generally required under Chapter 718 for such an action?
A. A simple majority vote of the board of directors at a properly noticed board
meeting.
B. A majority vote of the members present at a meeting, regardless of a quorum.
C. Approval by a majority of the total voting interests of the association, unless
the declaration provides otherwise.
D. No approval is needed if the alteration is considered an "improvement" to the
property.
🟢 Correct Answer: C. Approval by a majority of the total voting interests of the
association, unless the declaration provides otherwise.
🔴 Explanation: Florida Statute 718.113(2) states that an association shall not
make a material alteration or substantial addition to the common elements
without the approval of a majority of the total voting interests of the association,
unless the declaration provides for a higher percentage. This protects the
collective ownership interest in the common property.
5. A CAM is managing a homeowners' association (HOA) that has received a
complaint about a homeowner constructing a shed in their backyard without
prior approval. The HOA's governing documents require architectural approval.
What is the manager's first and most important course of action?
A. Immediately fine the homeowner for violating the architectural guidelines.
B. Contact the homeowner to inform them of the violation and the required
