CMCA Sample Exam

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1. Quorum requirements conflicts are resolved by:
a. state statute.
b. the board of directors.
c. a vote of those present at a meeting.
d. appointment of a person as a proxy.

A

2. Fidelity insurance provides coverage to ensure that the:
a. board will meet its fiduciary obligations.
b. manager will faithfully follow all document provisions.
c. deductible in the association's insurance policies is reimbursed.
d. association will be covered for shortfalls in the reserve accounts.
e. association will recover any funds lost through employee dishonesty.

E

3. Which type of management is the process of operating, maintaining, repairing, and replacing common property?
a. Human Resources
b. Facilities
c. Financial
d. Risk

B

4. The higher a document's place in the hierarchy, the:
a. harder it is to implement.
b. greater its power with the board.
c. more it is regulated legally.
d. greater its legal weight in a court of law.

D

5. Based on which type of requirements would you choose a contractor over the association to complete work?
a. Low urgency, costs adequate tools available
b. High urgency, low supervision and training possibly needed
c. Requires supervision, expertise required and low urgency
d. Low Costs, high urgency and borrowed tools

C

6. Who is required to be present for an annual association membership meeting to conduct business?
a. The treasurer and the secretary
b. A quorum of the board of directors
c. All members of the board of directors
d. A quorum of the members

D

Which of the following would a condominium unit member's personal insurance policy cover when it is the
primary insurance policy?
a. Wind damage to the roof of the member's unit.
b. Bodily injury due to a slip and fall in the common area in front of the member's unit.
c. Bodily injury due to the association using the member's automobile.
d. Bodily injury due to a slip and fall within a member's unit.
e. Fire damage to the association's unimproved common walls.

D

8. Community association governing documents and state statutes may require who to be involved in preparing
annual reports?
a. A CPA
b. The owners
c. An ad hoc committee
d. The management company

A

9. What is a typical management control used to identify physical assets?
a. Checklist
b. Charts of information
c. Inventory
d. Calendar or schedule

C

10. When a contractor fails to perform to the terms of the contract, which provision in the contract allows the
association to terminate?
a. Default provisions
b. Warranty provisions
c. Insurance provisions
d. Performance provisions

A

11. Where can an individual find the owner and association's maintenance responsibilities?
a. The plat map
b. The declaration
c. The state statute
d. The lease

B

12. At the monthly board meeting, it is the role of the manager to do all of the following except:
a. implement the decisions of the board.
b. call for a vote on an issue.
c. keep discussions on target.
d. act as a resource to the board.

B

13. All of the following are goals of maintenance in a community association except:
a. meeting the needs of the residents.
b. preserving and enhancing the common property.
c. limiting injury to residents, guests and employees.
d. increasing the association's profits.

D

14. The use of parliamentary procedure during meetings helps to ensure that:
a. quorum requirements are met.
b. only effective motions are made.
c. the board considers one item of business at a time.
d. the presiding officer is knowledgeable of meeting procedures.

C

15. GAAP requires statements of ___________ for year-end reports for a community association.
a. cash flows
b. auditing
c. compilation
d. budgeting

A

16. When developing a rule, the rule must be capable of:
a. uniform enforcement.
b. modifications and revisions.
c. limited interpretations.
d. selective enforcement.

A

17. If you prepare a maintenance responsibility chart for your community association, it must be based on all of the
following except:
a. bylaws and declaration.
b. board policies.
c. state statutes.
d. human resource policy.

D

18. Who is responsible for selecting a contractor?
a. Board
b. President
c. Manager
d. Owners/residents

A

19. A manager must take into consideration all of the following Federal laws during the hiring process, except the:
a. Americans With Disabilities Act of 1990.
b. Immigration Reform and Control Act of 1986.
c. Housing and Urban Recovery Act of 1983.
d. Family and Medical Leave Act of 1993.

C

20. Which of the following government agencies regulates employee compensation or payment?
a. FDIC
b. FICA
c. OSHA
d. None of the Above

D

21. A legally binding contract should include all of the following provisions except:
a. assignability.
b. waiver.
c. insurance.
d. severability.

C

22. If a physical asset is to be replaced, the basis for an association's scheduled replacement consists of the:
a. reserve study and replacement fund budget
b. maintenance record and inspection report
c. inspection checklist and reserve fund budget
d. inspection report and analysis sheet

A

23. A closed board meeting may also be referred to as a:
a. private session.
b. board session.
c. executive session.
d. committee session.

C

24. All of the following are types of association meetings except:
a. special meetings.
b. annual meetings.
c. ad hoc meetings.
d. owner meetings.

C

25. A useful management control to record various maintenance services and information needed in case of an
emergency is a maintenance:
a. responsibility chart.
b. analysis sheet.
c. request form.
d. contact sheet.

D

26. All of the following are key contract provisions except:
a. standards of performance.
b. job site safety requirements.
c. manner in which payments are made.
d. contractor's phone numbers.

D

27. It is good practice for an association to include a disclaimer in its employee manual stating that:
a. employment is based on experience and references.
b. it is not an implied contract or promise of employment.
c. employment may include a background check.
d. the association is not responsible for any possible injuries on the job.

B

28. To get needed maintenance work performed, a manager must organize the maintenance work into basic
categories and:
a. pay all invoices when presented.
b. create controls for ensuring that the work will be completed.
c. get at least five bids for work over $1,000.
d. have the board inspect the work.

B

29. Upon receipt of a proper petition to call a special meeting, what should the manager do?
a. Arrange a meeting with counsel
b. Advise the board to address it at the next scheduled meeting
c. Advise the board of its duty to respond in a timely manner
d. Set up a special meeting location

C

30. All of the following are basic types of contracts except:
a. service contracts.
b. repair contracts.
c. preventative maintenance contracts.
d. architecture contracts.

D

31. A ____________ is a procedure whereby performance problems are brought to the employee's attention and
actions are taken to correct them.
a. employment model
b. progressive discipline system
c. employee training program
d. continuous improvement program

B

32. All the following are criteria to be considered when recommending a contractor to the board except:
a. understanding of what needs to be done.
b. possession the necessary qualifications to do the job.
c. price.
d. timeframe.

D

33. What authority creates the right to vote by proxy?
a. Association rules and regulations
b. State statutes
c. Common law
d. Owner's rights

B

34. Periodic maintenance performed to avoid disruptive breakdowns and to prolong the useful life of a physical
asset is considered:
a. routine maintenance.
b. requested maintenance.
c. emergency services maintenance.
d. preventive maintenance.

D

35. Before the commencement of any services and repairs, the association should:
a. survey the owners/tenants to see if services are necessary.
b. ask the board to suggest what to do next.
c. raise assessments to pay for work.
d. compare three or more bids.

D

36. All of the following are true with respect to cumulative voting except:
a. many people perceive it as ballot box stuffing
b. it allows owners to cast all of their available votes for one person
c. the association can amend the governing documents to prohibit it
d. it helps establish a quorum

D

37. Preparing for a board meeting includes an agenda with:
a. the vice-president's report.
b. minutes of the previous meeting.
c. items to be addressed and voted on.
d. introductions of the board and manager.

C

38. A __________ contract covers the costs of all labor and materials.
a. cost and fees
b. repair service
c. lump sum
d. time and materials

D

39. Your community association should have established dismissal policies and procedures in its:
a. performance evaluation program.
b. interview process.
c. employee handbook.
d. employment records and files.

C

40. A community association wants to develop a RFP to repair or replace roofs of properties that were damaged in a
recent storm. Who should prepare the extensive specifications for the job?
a. Board members
b. Association manager
c. Third-party expert
d. Possible contractor

C

41. Annual meetings are intended to provide a forum:
a. in which owners expand their power.
b. for all business, elections and reports stated.
c. for owners to decide special issues.
d. to allow the board to take action at a special meeting.

B

42. Why should a written job description exist before you hire an individual for a position?
a. It will be easier to develop it with the person's help.
b. It can be revised and changed.
c. It has to be done for legal reasons.
d. It tells the person what is expected of the position.

D

43. A job description should include:
a. required duties of the position.
b. list of paydays and holidays.
c. salary and benefits.
d. reporting relationships.

A

44. What is an announcement that an organization is interested in receiving proposals for a particular project?
a. Bid specification
b. Bid request
c. Bid qualifications sheet
d. Bid statement of work

B

45. Who is entitled to vote when more than one person owns a unit or lot?
a. All owners are entitled and their vote is split.
b. All owners are entitled and each gets a vote.
c. Neither owner is entitled and they must have a proxy in order to vote.
d. Owners should vote in concert, with one owner designated to cast the vote.

D

46. The process of reviewing the extent to which a person has met established goals and standards is called:
a. progressive planning and enhancement
b. performance evaluation
c. improvement programming
d. the ten steps of highly effective people

B

47. Which of the following are detailed instructions about the products or services requested from a contractor?
a. Warranties
b. Bid specifications
c. Qualifications sheets
d. Payment bonds

B

48. More and more associations are employing _________ to attend annual or special meetings and to rule on all
procedural questions.
a. certified lawyers
b. professional parliamentarians
c. certified negotiators
d. professional arbitrators

B

49. A cost and fees contract covers:
a. all contracted work fees after its been completed
b. a level of performance for a specific period of time and money
c. actual labor and materials costs and a percentage of profit
d. hourly rates, material costs and a percentage of the total costs

C

50. What is the process of establishing performance goals and standards for an employee?
a. Employee orientation to the association
b. On-going training
c. Performance planning
d. Performance evaluation

C

51. All of the following statements are correct with regards to special and annual meetings except:
a. both have to meet minimum quorum requirements set by the statute.
b. both require notice of meeting to be sent to all owners within time allotted.
c. both provide a forum for business not stated in meeting notice.
d. both allow owners to attend in person or by proxy.

C

52. What is an aid commonly used for planning and budgeting the use of personnel?
a. Job description
b. Annual budget
c. Manpower reports
d. Performance planning

A

53. Which of the following sets forth criteria for the annual meeting, including notice, quorum, voting, and proxy
procedures?
a. Articles of incorporation
b. Bylaws
c. State statutes
d. Parliamentary procedures

B

54. What initiated regulations such as specific working conditions, safety equipment and reporting of accidents?
a. Fair Labor Standards Act
b. Child labor laws
c. Worker's compensation laws
d. Occupational Safety and Health

D

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