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ARE 5.0 PCM Questions with Correct
Answers | Updated (100% Correct Answers)
CANNON 1— Answer: GENERAL OBLIGATIONS: MAINTAIN &
ADVANCE THEIR KNOWLEDGE OF THE ART & SCIENCE OF
ARCHITECTURE, CONTRIBUTE TO ITS GROWTH, EXERCISE LEARNED
AND COMPROMISED PROFESSIONAL JUDGEMENT.
CANNON II— Answer: OBLIGATIONS TO THE PUBLIC: SERVE THE
PUBLIC INTEREST IN THEIR PROFESSIONAL AND PERSONAL
ACTIVITIES
CANNON III— Answer: OBLIGATIONS TO THE CLIENT: SERVE
CLIENTS COMPETENTLY AND IN A PROFESSIONAL MANNER.
CANNON IV— Answer: OBLIGATIONS TO THE PROFESSION:
UPHOLD THE INTEGRITY AND DIGNITY OF THE PROFESSION.
CANNON V— Answer: OBLIGATIONS TO COLLEAGUES: RESPECT
THE RIGHTS AND ACKNOWLEDGE THE PROFESSIONAL
ASPIRATIONS AND CONTRIBUTIONS OF THEIR COLLEAGUES.
CANNON VI— Answer: OBLIGATIONS TO THE ENVIRONMENT:
PROMOTE SUSTAINABLE DESIGN AND DEVELOPMENT PRINCIPLES
SOLE PROPRIETORSHIP— Answer: OWNED BY AN INDIVIDUAL.
EASY TO SETUP, TOTAL MGT BY OWNER, POSSIBLE TAX
© 2025 All rights reserved
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ADVANTAGES. DISADVANTAGE: OWNER IS PERSONALLY LIABLE
FOR COMPANY DEBTS AND LOSSES
GENERAL PARTNERSHIP— Answer: 2 OR MORE PEOPLE, GENERAL
PARTNERS, SHARE MGT, RISK, RPFIT. INCOME IS SHARED &
REPORTED ON PERSONAL TAX FORMS. EACH PARTNER IS
PERSONALLY LIABLE FOR BUSINESS DEBTS.
LIMITED PARTNERSHIP— Answer: HAS ONE GENERAL PARTNER &
AT LEAST ONE LIMITED PARTNER. GEN. PARTNERS INVEST &
MANAGE IT & ARE FINANCIALLY RESPONSIBLE. LIMITED PARTNERS
ARE SILENT INVESTORS, ONLY LIABLE FOR THEIR INITIAL
INVESTMENT.
CORPORATION/ C CORP— Answer: A LEGAL ENTITY SEPARATE
FROM ITS MEMBERS, REQUIRES ARTICLES OF CORP FROM STATE
OFFICE. MEMBERS ARE ONLY RESPONSIBLE FOR INITAL
INVESTMENT.
C CORP— Answer: STRUCTURE: STOCKHOLDERS, DIRECTORS,
OFFICERS
CORP— Answer: ADVANTAGE: MEMBERS PERSONAL ASSETS ARE
NOT AT RISK. TAXED AT LOWER RATES BUT ONCE AT THE
BUSINESS LEVEL ON ITS PROFITS AND ONCE FOR ITS
SHAREHOLDERS FOR DIVIDENDS
© 2025 All rights reserved
, 3
S CORP— Answer: ALLOCATES INCOME AND LOSSES DIRECTLY TO
SHAREHOLDERS. LIMITED TO SMALL BUSINESSES, LESS THAN 100.
LLC OR LLP— Answer: CONSIST OF INVESTORS/MEMBERS AND
MANAGERS. MEMBERS HAVE NO PERSONAL LIABILITY ONLY
INITIAL INVESTMENT. NOT A SEPARATE ENTITY TAX WISE SO THE
BUSINESS ISN'T TAXED. PROFITS/LOSSES AND TAXES ARE PASSED
ON TO ITS MEMBERS
JOINT VENTURE— Answer: TEMP ASSOCIATION OF 2 OR MORE
PERSONS/FIRMS FOR THE PURPOSE OF COMPLETING A PROJECT
OR GOAL. TYP. OF LARGE PROJECT TYPES & OUTSOURCING
EXPERTISE. DISSOLVES AFTER COMPLETION.
TEAMING AGREEMENT— Answer: DEFINES ROLES,
RESPONSIBILITIES, & CONTRACTUAL RELATIONSHIPS. NOT A
FORMAL AGREEMENT.
STANDARD OF CARE— Answer: LEVEL OF SKILL & DILIGENCE THAT
A REASONABLY PRUDENT ARCH WOULD EXERCISE IN THE SAME
COMMUNITY, IN THE SAME FRAME AND GIVEN THE SAME SIM
FACTS & CIRCUMSTANCES.
DEPARTMENTAL ORG/ HORIZ OR FLAT ORG— Answer: VERY
EFFICIENT, ALLOWS FOR FINE TUNING OF PROCESSES, CREATES
ECONOMIES OF SCALE. POSSIBLE COMMUNICATION ISSUES.
© 2025 All rights reserved
ARE 5.0 PCM Questions with Correct
Answers | Updated (100% Correct Answers)
CANNON 1— Answer: GENERAL OBLIGATIONS: MAINTAIN &
ADVANCE THEIR KNOWLEDGE OF THE ART & SCIENCE OF
ARCHITECTURE, CONTRIBUTE TO ITS GROWTH, EXERCISE LEARNED
AND COMPROMISED PROFESSIONAL JUDGEMENT.
CANNON II— Answer: OBLIGATIONS TO THE PUBLIC: SERVE THE
PUBLIC INTEREST IN THEIR PROFESSIONAL AND PERSONAL
ACTIVITIES
CANNON III— Answer: OBLIGATIONS TO THE CLIENT: SERVE
CLIENTS COMPETENTLY AND IN A PROFESSIONAL MANNER.
CANNON IV— Answer: OBLIGATIONS TO THE PROFESSION:
UPHOLD THE INTEGRITY AND DIGNITY OF THE PROFESSION.
CANNON V— Answer: OBLIGATIONS TO COLLEAGUES: RESPECT
THE RIGHTS AND ACKNOWLEDGE THE PROFESSIONAL
ASPIRATIONS AND CONTRIBUTIONS OF THEIR COLLEAGUES.
CANNON VI— Answer: OBLIGATIONS TO THE ENVIRONMENT:
PROMOTE SUSTAINABLE DESIGN AND DEVELOPMENT PRINCIPLES
SOLE PROPRIETORSHIP— Answer: OWNED BY AN INDIVIDUAL.
EASY TO SETUP, TOTAL MGT BY OWNER, POSSIBLE TAX
© 2025 All rights reserved
,2
ADVANTAGES. DISADVANTAGE: OWNER IS PERSONALLY LIABLE
FOR COMPANY DEBTS AND LOSSES
GENERAL PARTNERSHIP— Answer: 2 OR MORE PEOPLE, GENERAL
PARTNERS, SHARE MGT, RISK, RPFIT. INCOME IS SHARED &
REPORTED ON PERSONAL TAX FORMS. EACH PARTNER IS
PERSONALLY LIABLE FOR BUSINESS DEBTS.
LIMITED PARTNERSHIP— Answer: HAS ONE GENERAL PARTNER &
AT LEAST ONE LIMITED PARTNER. GEN. PARTNERS INVEST &
MANAGE IT & ARE FINANCIALLY RESPONSIBLE. LIMITED PARTNERS
ARE SILENT INVESTORS, ONLY LIABLE FOR THEIR INITIAL
INVESTMENT.
CORPORATION/ C CORP— Answer: A LEGAL ENTITY SEPARATE
FROM ITS MEMBERS, REQUIRES ARTICLES OF CORP FROM STATE
OFFICE. MEMBERS ARE ONLY RESPONSIBLE FOR INITAL
INVESTMENT.
C CORP— Answer: STRUCTURE: STOCKHOLDERS, DIRECTORS,
OFFICERS
CORP— Answer: ADVANTAGE: MEMBERS PERSONAL ASSETS ARE
NOT AT RISK. TAXED AT LOWER RATES BUT ONCE AT THE
BUSINESS LEVEL ON ITS PROFITS AND ONCE FOR ITS
SHAREHOLDERS FOR DIVIDENDS
© 2025 All rights reserved
, 3
S CORP— Answer: ALLOCATES INCOME AND LOSSES DIRECTLY TO
SHAREHOLDERS. LIMITED TO SMALL BUSINESSES, LESS THAN 100.
LLC OR LLP— Answer: CONSIST OF INVESTORS/MEMBERS AND
MANAGERS. MEMBERS HAVE NO PERSONAL LIABILITY ONLY
INITIAL INVESTMENT. NOT A SEPARATE ENTITY TAX WISE SO THE
BUSINESS ISN'T TAXED. PROFITS/LOSSES AND TAXES ARE PASSED
ON TO ITS MEMBERS
JOINT VENTURE— Answer: TEMP ASSOCIATION OF 2 OR MORE
PERSONS/FIRMS FOR THE PURPOSE OF COMPLETING A PROJECT
OR GOAL. TYP. OF LARGE PROJECT TYPES & OUTSOURCING
EXPERTISE. DISSOLVES AFTER COMPLETION.
TEAMING AGREEMENT— Answer: DEFINES ROLES,
RESPONSIBILITIES, & CONTRACTUAL RELATIONSHIPS. NOT A
FORMAL AGREEMENT.
STANDARD OF CARE— Answer: LEVEL OF SKILL & DILIGENCE THAT
A REASONABLY PRUDENT ARCH WOULD EXERCISE IN THE SAME
COMMUNITY, IN THE SAME FRAME AND GIVEN THE SAME SIM
FACTS & CIRCUMSTANCES.
DEPARTMENTAL ORG/ HORIZ OR FLAT ORG— Answer: VERY
EFFICIENT, ALLOWS FOR FINE TUNING OF PROCESSES, CREATES
ECONOMIES OF SCALE. POSSIBLE COMMUNICATION ISSUES.
© 2025 All rights reserved
