36 Questions
What was the significance of Commerce AO 60-1 (April 28,1960)?
It provided guidelines for licensing real estate appraisers and required written examinations for real estate brokers and appraisers
According to DOJ Opinion No. 113, Series of 1995, who is limited to practicing realty service practice?
Filipino citizens
What is covered in the scope of examination according to RA 9646 (July 2009)?
Project feasibility study and investment measurement tools
What did Ministry Order No. 39 (1985) govern?
Rules and regulations for real estate salesmen, brokers, appraisers, and consultants
What is the purpose of a retainer fee in consulting engagements?
To provide a guaranteed minimum payment for the consultant
Under what circumstances may a time and expense arrangement be coupled with a retainer fee?
When the client wants to ensure a fixed maximum fee for the engagement
What distinguishes a performance fee from a commission payment in consulting engagements?
The performance fee is contingent on the results obtained
Why should a consultant never accept an engagement fee on a wholly contingent basis?
It may lead to a conflict of interest between the consultant and the client
What is the purpose of making necessary data and information available promptly to the consultant?
To reduce the cost and time of obtaining the same from other sources
What is the consequence of client default on the provision of cost and expenses in the consulting engagement?
It may materially affect the consultant’s quality of work
Why is it important for the client to furnish needed materials in a straightforward and sincere manner?
Quality of the consultant's work is directly related to the quality and quantity of data obtained
What type of analysis do long-range goal problems require?
Complex analysis due to more imponderables and assumptions
What does the straight or fixed fee usually apply to?
Projects where the scope is clearly quantifiable
What does a modified fixed fee provide for during the course of the engagement?
It provides for changes that must be considered during the course of the engagement
Why must the consultant always be aware that short-term decisions can significantly affect long-term goals?
Because short-term decisions can significantly affect long-term goals and vice versa
Why is compliance to the terms and conditions of the consulting engagement important?
Non-compliance may materially affect the consultant’s quality of work
What may be required if an immediate cash problem develops or is developing?
Consulting to handle any grossly unexpected developments
What is expected to alter if there is an indication of failure in solving immediate problems related to long-term investment goals?
The outcome of long-term real estate investment goals and objectives
Why is it crucial for both parties to clear any dissemination of confidential reports beforehand?
To evaluate the merit or disadvantage of maintaining strict confidentiality of the report
What is the primary purpose of the Continuing Professional Development (CPD) Act of 2016?
To establish mandatory requirements for real estate license renewal
What is a ground for revocation of a real estate consultant’s license according to the text?
Failure to disclose a conflict of interest
What organization is mentioned as the country’s only organization for the premier real estate profession?
Philippine Association of Realty Consultants and Specialists, Inc. (PARCS)
In what year are real estate consultants required to have 30 CPD units?
2026
What is the minimum experience required for an applicant to take the licensure examination for real estate consultants?
10 years as a licensed real estate broker
What does the rule on conflict of interest mandate when a consultant or relative owns at least twenty percent propriety interest in the property subject of consultancy?
The consultant must disclose such interest before accepting the consultancy engagement
What is the purpose of RA 10912, also known as the “Continuing Professional Development (CPD) Act of 2016”?
To ensure that real estate practitioners stay updated with developments in their field
Who is eligible to renew their PRC Real Estate License with only 5 CPD Units during the Transition Period?
Senior Citizens
What is one of the objectives of PARCS, as mentioned in the text?
To recommend new legislations and amendments to existing laws
What does Rule on Conflict of Interest prohibit regarding the engagement of a real estate consultant?
Engagement dependent upon pre-determined findings or recommendations
How many years’ experience is required for an applicant for the licensure examination for real estate consultants if they have been an employed person performing real property valuation?
5 years
What is required for an applicant to take the licensure examination for real estate consultants if they have been an assessor?
10 years as an assessor
What is the minimum education requirement for a Professional Real Estate Consultant (PREC)?
Masters' Degree in Real Estate or equivalent
What must a Real Estate Consultant do to assist the client in defining the issues involved in the problem?
Conduct necessary consultations with other specialists
What does the client's ulterior motive to use his function subjectively indicate?
Unethical relationship
What is the primary purpose of the Continuing Professional Development (CPD) Act of 2016?
To ensure that consultants keep their knowledge and skills updated
What distinguishes a performance fee from a commission payment in consulting engagements?
Performance fee is only provided if the consultant meets specific performance targets, while a commission payment is based on sales or deals closed
Test your knowledge of the career progression levels in real estate consultancy, including the qualifications and licenses required at each level. This quiz covers the criteria for attaining the titles of Real Estate Consultant (REC) and Professional Real Estate Consultant (PREC) as per RA 9646.
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