AE Practice Questions And Answers

T/F Once Budget and/or Actuals have been imported into AE from a 3rd party system, manual adjustments cannot be made in the Budget and/or Actuals tabs - ANS True Which of the following is NOT a level offered within the Charts of Accounts section? A. Header B. Account C. Sub-Account D. Detail - ANS C. Sub-Account Which of the following is NOT a classification type in AE? A. System B. Property C. Region D. Tenant - ANS C. Region T/F Users in AE can have permissions assigned to them at the portfolio, scenario, and property level - ANS True Which General Vacancy calculation is found by adding the Total Tenant Revenue + Total Other Income? - ANS % of Potential Gross Income T/F Both Positive and Negative inflation rates can be entered in AE - ANS True What is the extension of a property asset file in AE? - ANS .avux Which Valuation tab's primary purpose is to determine the current value of the property? - ANS Direct capitalization T/F It is possible to have multiple Property Resale Calculations active for a single property - ANS False Calculate the Property Resale Value of a building with... Analysis length: 5 Years Calc Method: CAP NOI (12 Months After Sale) Year 5 NOI: $750,000 Year 6 NOI: $1,000,000 Cap Rate: 5.00% - ANS (1,000,000/.05) = $20,000,000 T/F Only one debt note can be entered into AE - ANS False If the analysis is 10 years long and you have a 30-year debt note, when will it balloon? - ANS 10 years When calculating a Market Leasing Profile with the Upon Expiration set to Vacate, AE will ___________________. - ANS Assume 0% renewal probability Which of the following Upon Expiration is described by the following definition: Renewals will be processed based on the renewal probability in the Market Leasing Profile (weighted average calculations of new and renewal rates for market rents, tenant improvements, leasing commissions, etc) - ANS Market With a 60% Renewal Probability, what Tenant Improvement rate will be calculated if a tenant rolls to Market in the first year of the analysis and New TI Rates are $20/SF and Renewal TI Rates are $10/SF - ANS (.6)(10) + (.4)(20) = $14/SF Calculate the Market Rent Rate in Year 2 using the following info for a tenant that is set to "Renew" in the Upon Expiration field: Renewal Probability: 50% Market Inflation Rate: 5% New Market Rent (Year 1): $100/SF/YR Renewal Market Rent (Year 1): $75/SF/YR - ANS Assumes 100% renewal probability (75)(1.05) = $78.75 If a Tenant's Upon Expiration is set to Month to Month, how many months of downtime will appear on the Tenant Cash Flow? - ANS 0 Months The weighted average is 6.4 for the Months Vacant in a Market Leasing profile. How many months of downtime will occur if a tenant was set to Market upon rollover? - ANS 6 Months (Have to round) Which of the following is NOT included in the default Leasing Commissions Fixed % calculation? A. Base Rent B. Fixed Steps C. Free Rent D. Recoveries - ANS Recoveries Use the following assumptions to calculate the Percentage Rent: Tenant Size: 10,000 SF Building Size: 100,000 SF Tenant Annual Rent: $50,000 Annual Sales Amount: $10,000,000 Sales %: 5% Breakpoint: Zero - ANS 10,000,000 x .05 = $500,000 ____________________ is a solution for consolidating and reporting property, tenant, portfolio, and scenario information contained within AE. - ANS Portfolio Reporting T/F Properties can be filtered, sorted and grouped in the Portfolio interface - ANS True T/F Users can define a varying building area over time by clicking the Building Area ellipsis - ANS True The ___________________ tab allows users to upload numerous files to centralize the property documents - ANS Attachments How many years can an analysis length be? - ANS 100 Years T/F The Report Options button allows a user to change the Print Intervals setting for specific reports - ANS True The Tenants Reports - Lease Summary displays the following: A. Only Tenants entered in the Rent Roll B. Only Tenants entered in Space Absorption C. Both Tenants entered in the Rent Roll and Space Absorption - ANS Both Tenants entered in the Rent Roll and Space Absorption Which of the following is NOT a property report? A. Cash Flow B. Executive Summary C. Assumptions D. Tenant Summary - ANS Tenant Summary