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ARGUS CERTIFICATION EXAM WRITTEN
EXAM WITH ACTUAL QUESTIONS AND
ANSWERS 2023
What is the calculation for the Natural Breakpoint for Percentage Rent? - Base Rent / Sales Percentage Which of the following is a purpose for a Market Leasing profile? - To apply leasing assumptions to a tenant area when the current lease for that space expires Speculative leasing or Space Absorption, of vacant space Use the following assumptions to calculate the Percentage Rent: Tenant Size: 1,250 SF Base Rent: $20/SF/Year Annual Sales Amount: $2,000, Sales Percentage: 3% Breakpoint: Natural - $35, A Portfolio may have _______ Chart of Accounts applied at a time - One Percentage Rent fields are only available when _________ is selected as the property type. - Retail or Mixed Use that includes Retail Which of the following are levels offered with the Chart of Accounts?Check all that apply. - Parent/Header Cashflow/GL Account Detail/Job Costs Which of the following reports can be accessed by clicking Property Reports? Check all that apply. - Executive Summary Budget Comparison Cash Flow
Enter the Property Resale information in the _______________ tab. - Valuation To change the Report Print Interval setting, click the __________ button. - Report Options The _______________ allows users to upload numerous files and URLs to centralize the location of property documents. - Attachments Tab Which of the following are included in the default Leasing Commission calculation? Check all that apply. - Free Rent Fixed Steps Which of the following are included in the default Free Rent calculation? Check all that apply. - Base Rent Fixed Steps CPI Rent Increases Intelligent Renewals are used to specify that tenant leases be renewed using __________________. Check all that apply. - Last Month's Rent Rate Contract Rate Weighted Market Renewal Rate Market Rent in a different Market Leasing profile When leases roll to the Market Leasing profile, by default the rents do not inflate during the rollover term. - True Use the following assumptions to calculate the General Vacancy for the property in Year 1 of the analysis if we are overriding Tenant 1 and a Percent of Potential Gross Revenue is the method being applied. There is no Absorption & Turnover in Year 1. General Vacancy Rate: 5% Total Potential Gross Revenue: $87, Tenant 1 Rental: $42, Tenant 1 Override %: 0% - $2,
% Occupied: 82% % Grossed Up: 90% - $15,427. Any type of item can be added in as a Miscellaneous Rent if they are directly related to the tenant. - True For a tenant to pay a specific amount for an Expense, select the ______________ Recovery Method. - Fixed Amount What is the extension of a property asset file in ARGUS Enterprise? - .avux Assume a NOI of $946,250, cap rate of 10.5%, and a 3% selling costs. Capitalize the NOI to determine the Net Sales Price. - $8,741, The Present Value tab allows us to enter in a separate discount rate for the Leveraged and Unleveraged Cash Flow as well as the Leveraged and Unleveraged Resale Rate. - True It is required to enter in a Property Name and Address for every property added within a portfolio. - False Calculate the Operating Expense shown on the Cash Flow from the following assumptions: Expense Amount: $0.45/SF/Year Property Size: 65,000 SF % Fixed: 45 % Occupancy: 82% - $26, To adjust the Base Rent when you have a one-time increase, or increases that happen at different increments, use the Fixed Steps Unit column. - False To indicate that an expense should not be included in the cash flow projection nor used in the calculation of the NOI, select the ________ option. - Reference Only ___________ allows us to track who has been in the asset and what changes have been made to that asset. - Audit Log
How is Total Rental Revenue calculated? - Scheduled Base Rent + CPI Increases Which Recovery Structure would you select to enter in a tenant that pays their net pro-rata share of all expenses over a specified base stop? - Stop Amount/Area Users with the appropriate system rights and permissions can create ___________ values for Property and Tenant Classifications. - More Than 100 Using the information below, calculate the amount that will appear as the Operating Expense on Year 1 of the Cash Flow: Utilities Expense: $16, % Fixed: 35% % Occupied: 82% % Grossed Up: 90% - $14,569. The Fixed Amount/Area Recovery Method is calculated as: - The annual amount/area, based on Tenant Size, that will be paid by the tenant each year. Which of the following is considered a primary use for XL4ADW? Check all that Apply. - Custom queries of results data Import of new models and data Modify modeling data in AE (Round Trip) Review modeling data in AE (Input Assumptions) In the Portfolio section of the File tab, existing properties within the portfolios are displayed in the ___________ pane. - Properties Users can define a varying buliding area over time by clicking the Building Area ellipsis. - True A property with an analysis start date of January 2014 has Market Rent for both new and renewal tenants at $20.50/SF/Year. If a tenant rolls to market and a new lease begins in September 2018, what rent would ARGUS Enterprise use for the speculative tenant? Assume Market Rent Inflation is 4% beginning in the second year of the analysis. - $23.
A user can change the Hold Length for the property resale by selecting either hold years or a fixed date - True Parameters for the Discount Rate Change Interval on the IRR Matrix report can be changed in what tab? - Assumptions Argus Enterprise can have a different term length for amortization than for the loan duration? - True Enter Other Debt information into the valuation tab - False When you have a one time increase, or an increase that happen at different increments or times, utilize the Fixed Steps Unit Column - False 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 How is the % of Total Revenue method calculated? - Scheduled Base Rent + CPI Increases General Vacancy calculation frequency can be monthly or annually - True Free Rent, Tenant Improvements, and Leasing Commission categories can be created in the Market parent tab and applied in the Rent Roll or the Market Leasing levels - True When including free rent in the leasing commission calculation, is it added or subtracted? - Subtracted When are leasing commissions paid by default within Argus Enterprise? - At the first of the month of the first lease year What is the default free rent formula - Base Rent + Fixed Steps + CPI When is free rent given within Argus? - The first month(s) of the lease
Each time a filter is activated , the formula at the bottom of the screen is updated. To remove the filter, click the X to the left of the filter formula - True What is a solution for consolidating and reporting property, tenant, portfolio, and scenario information contained within the Argus Data Warehouse? - Portfolio Level Reporting Sensitivity Analysis allows you to create scenarios and make edits to an individual property or all the properties within your portfolio simultaneously - True Actuals and Budget Information can be viewed on what basis? - Monthly, Quarterly, Semi-Annually, and Annually Argus Enterprise merges three industry standard solutions: Argus Valuation - DCF, Argus asset management, and Argus Valuation-Capitalization - True In Argus, you can utilize the keyboard shortcut commands to navigate within certain sections of the program - True In AE, a user can ass over 100 properties into a portfolio - True Which is a benefit of using Chart of Accounts? - Easier to track revenues and expenses Standardizes portfolio for names of all Expenses and Revenues Helps with accounting system integration In AE you can only assign one Chart of Accounts to a portfolio - True Only users with appropriate permissions can access all the features in the Control Panel - True To lock down a specific property and restrict who can edit it, what button should you click located in the ribbon? - Check Out Property You can import and/or export v15 DCF files from Argus Enterprise - True
Step Rent Increases can be applied in the Step Rent Field or in the Base Rent varies window - True When using an available date that is before the start date, the loss in potential rent (Base Rental Revenue) can be shown on which report? - Lease Audit What is used in retail properties where tenants are expected to pay a percentage of their sales to the property owner - Percentage Rent What is the default calculation formula for Chargeable Sales? - Sales Volume - Breakpoint Additional principal payments can be factored into the loan computations? - True While running a 7-year analysis on a property wit ha 30-year debt note in Argus Enterprise, the note will do what at the end of the projection? - Balloon After changing up the modeling policy for Gross Ups, any Recovery Structure already created will default to the Gross Up percent in the Modeling Policies window. - False The default formula for Leasing Commissions is: - Base Rent + Step Rent - Free Rent To indicate that an expense should not be included in the cash flow projection nor used in the calculation of the NOI, select - Reference Only What is the default formula for Free Rent? - Base Rent + Fixed Steps + CPI Months Vacant Overrides will only affect the first rollover and there will be no blending based upon the renewal probability - True The Batch Update allows a user to model several changes simultaneously instead of performing each individual adjustments - True When creating a sensitivity scenario, changes to individual properties may be made at the top of the screen - False
Different levels of detail can be set for the Audit Log in which Portfolio Application tab? - Portfolio Details To change the report interval setting, click which button? - Report Options Which report within Portfolio Level Reports will show individual property information that makes up the selected cash flow totals? - Cash Flow Detail All of the following are options for exporting Portfolio Level Reporting EXCEPT? - HTML Year 1 Cash Flow Open Calculation - (Utilities Expense * Fixed %) + (Utilities Expense * % Occupied * Variable %) General Vacancy Formula - [(PGR + Absorption and Turnover) * (Gen Vacancy) - Absorption and Turnover] Be sure to subtract tenant revenue if overriding Which of the following are included in the default Leasing Commission calculation? - Free Rent Fixed Steps
