ARGUS Enterprise Certification Exam Review Questions with complete solutions 2023

ARGUS Enterprise Certification Exam Review Questions with complete solutions 2023 1- (T/F) Once a property asset type is selected it cannot be changed False. In the DCF version you cant but in enterprise the asset type CAN be changed after its created 1- (T/F) The analysis begin date defaults to the current month and year True. and 100 years is the longest analysis period 1- Which section in the navigation pane allows users to update a variety of different settings ranging from managing users to data import validation rules to report settings? control panel 1- Which of the portfolio application tabs is best described by the following statement? This application allows users to create and view analytical charts and graphs based on a combination of properties from the portfolio analysis 2- What is the extension of a property asset file in argus enterprise? .avux 2- ________ saves the updates to the property asset model to the database. If a calculation has been performed, it also saves the latest calculation results save property (you do this under property view) 2- what should be selected as the 'how input' method for the revenue or expense to be based on a percentage of other cash flow line items in the property? % of other. example- management fee as % of effective gross revenue 2- Common area maintenance is $100,000 and is 50% fixed. Occupany is 75%. A. What dollar amount should be entered in the amount 1 field? B. What will be the actual expense on the cash flow for CAM? A. 100,000 B. 87,500 work for B: (expense amount % fixed) + (expense amount % variable * % occupied) (100,000 .5) + (100,000 .5 * .75) = 87,500 2- Insurance is $80,000 and is 100% fixed. Occupancy is 85%. A. What dollar amount should be entered in the amount1 field? B. What will be the actual expense on the cash flow for insurance? A. 80,000 B. 80,000 2- To replicate a value in a specific month of each year during the project for a specific expense, you must click which button in the Amount1 varies window? copy column to end 3- What is the Market rent in 2025? relevant info from book (pg 47): market rent in 2022 is 15 market inflation rate is 5% in 2023 and 2024, then it is 3% in 2025, 2026 and 2027 17.03 3- What is the cpi inflation rate in 2024 relevant info from book (pg 47): market rent in 2022 is 15 cpi inflation rate is shown across the board as 0% 0.00% 3- When calculating a market leasing profile with the upon expiration set to renew, enterprise ________ assumes a 100% renewal 3- (T/F) The upon expiration field within the market leasing profile allows us to select any overrides for past terms False 4- (T/F) When you have a one time increase, or an increase that happens at different increments or times, utilize the fixed steps unit column False 4- When entering an available date prior to the start date within the rent roll, argus enterprise will assume: the space is available, but vacant until the start date 4- The analysis start date is january 2022. A tenants lease start date is March 2022. If we want to show the lost absorption/ turnover rent for this tenant, what would be entered in the following fields? A. Available date field: B. Start date field: A. Jan 2022 B. March 2022 4- (T/F) The lost absorption/ Turnover rent being reported for the months prior to a lease start will appear on the individual tenant cash flow/ LPV report False 4- calc percentage rent info from txt pg 88: tenant size: 2,450 SF tenant rent: $13 sf/year 4% sales % sales amount: 950,000 $6150 work: sales volume - breakpoint * sales % 950,000- ( ()/4 ) 4% $6150 4- The % of total rental revenue method is calculated by taking the scheduled base rent + ______ CPI Increases 4- (T/F) The general vacancy calculation frequency can be monthly or annually true 4- What is the general vacancy for this building? info from pg 89: potential gross revenue: 9,600,000 absorption & turnover vacancy: 230,000 5% general vacancy 261,500 work: (pgr + absorption & turnover) * vacancy rate - absorption and turnover ( + ) * 5% - 230,000 261,500 5- Calculate the utilities expense, using the following assumptions property size= 35,000 SF utilities expense= 0.15/sf/year --> 35% fixed occupancy= 80% (expenses fixed%) + (expenses variable % * occupancy %) ((35,000 .15) .35) + ((35,000 .15) .65 * .80) 4,567.50 5- Assume that a property's cam expense is $30,000 per year and 60% fixed the occupancy of the property is 70%. What value should be entered in the amount1 field in the operating tab? 30,000 5- Assume that a property's cam expense is $30,000 per year and 60% fixed. the occupancy of the property is 70%. What is the operating expense amount that will appear on the cash flow report? (expense fixed%) + (expense variable % * occupancy %) (30,000 .60) + (30,000 .40 * .70) =26,400 5- Assume that a property's cam expense is $30,000 per year and 60% fixed. the occupancy of the property is 70% and reimbursable expenses are grossed up to 100%. What is the operating expense amount that will appear on the cash flow report? (expense fixed%) + (expense variable % * occupancy %) (30,000 .60) + (30,000 .40 * .70) =26,400 5- What will tenant A pay in reimbursements in 2017 if they have a 2016 base year stop and all opex are included except the real estate taxes? info: tenant A size= 20,000 property size= 25,000 total opex 2016= 404,703 res taxes 2016= 80,000 total opex 2017= 466,109 res taxes 2017= 82,400 ((2017 total opex- res taxes) - (2016 total opex - res taxes)) * (tenant size/ property size) (-82400) - (-80000) * (20,000/25,000) =47,204.80 5- What will tenant A pay in reimbursements in 2018 if the reimbursement method is net and all operating expenses are included in the recovery? info: 2018 total opex= 482,710 tenant A size= 20,000 property size= 25,000 2018 total opex * (tenant size/ property size) 482,710 * (20,000/25,000) 386,168.00 6- (T/F) Free rent, tenant improvement and leasing commission categories can be created in the market parent tab and applied in the rent roll or the market leasing levels true 6- when including free rent in the leasing commission calculation, is it added or subtracted within the formula? subtracted 6- By default, when are leasing commisssions paid within argus enterprise? the first month of the first lease year 6- What is the default free rent formula base rent+ fixed steps + cpi 6- By default, when is free rent given within argus enterprise? the first month(s) of the lease 7- The gross sale price is calculated by taking the NOI to capitalize and dividing it by the __________, when using cap NOI (12 months after sale) cap rate 7- (T/F) a user can change the hold length for the property resale by selecting either hold years or a fixed date true 7- Calculate the resale value of the building using the following assumptions resale method= capitalize NOI cap rate= 6.5% NOI= 784,567 selling costs= 3% adjusted gross (NOI/ cap rate) - ((NOI/ cap rate) * selling cost %) (784,567/6.5%) - ((784,567/6.5%) * 3%) $11,708,154 7- parameters for the discount rate change interval on the IRR matric report can be changed in the ____________ tab? assumptions 7- Within the investments tab, the _________ tab is used to calculate debt notes outside of the AE system other debt 7- (T/F) Argus enterprise can have a different term length for amortization and the loan true 7- (T/F) Enter other debt information into the valuations tab false 8- (T/F) Each time a filter is activated, the formula at the bottom of the screen is updates. to remove the filter, click the X to the left of the filter formula true 9- ______________ is a solution for consolidating and reporting property, tenant, portfolio and scenario information contained within the Argus data warehouse portfolio level reporting 9- (T/F) Sensitivity analysis allows you to create scenarios and make edits to an individual property or all the properties within your portfolio simultaneously true 10- (T/F) If actuals and budget data is entered manually, further updates can be made on the data. if actuals and budget data is imported in from a third (3rd) party system, or by using XL4ADW, manual updates cannot be made true 10- actuals and budget information can be viewed on a: all of the above! -monthly basis -quarterly basis -semi annually basis -annual basis ARGUS Enterprise merges three industry standard solutions: ARGUS Valuation - DCF , ARGUS Asset Management, and ARGUS Valuation - Capitalization A) True B) False A) True In ARGUS Enterprise you can utilize shortcut keyboard commands to navigate within certain sections of the program. A)True B) False A) True In AE, a user can add over 100 properties into a portfolio. A)True B)False A)True Which is a benefit to utilizing a Chart of Accounts? A) Easier to track Revenues/Expenses B) Standardizes portfolio for names of all Expenses/Revenues C) Helps with accounting system integration. D) All of the Above D) All of the Above In ARGUS Enterprise, you can only assign one Chart of Accounts to a Portfolio. A) True B) False A) True The Discard Changes option will discard only the last change you have made to the property record. A)True B)False B) False Only users with appropriate permissions can access all of the features in the Control Panel. A)True B) False A) True To lock down a specific property and restrict who can edit it, click the __________ button located in the ARGUS Enterprise Ribbon bar. A) Modeling Policies B) Calculate As C) Check out Property D) Details C) Check out property You can import and/or export v15 DCF files from ARGUS Enterprise. A) True B) False A) True