Mandatories

Question 1

What is a balance sheet?

Answer 1

-statement of financial position
-asset and liabilities
-usually end of financial year
Asset- cash/property/investments
Liabilities- borrowings/overdrafts/loans

Question 2

What is a profit and loss account? (Income statement)

Answer 2

-Summary of financial income/expenditure
-prepared annually

Question 3

what is a cash flow statement?

Answer 3

actual receipts and expenditure (includes VAT)

Question 4

What accounts are not audited?

Answer 4

Management accounts (prepared for internal use)

Question 5

who are audited accounts prepared by?

Answer 5

Chartered/certified accountant

Question 6

What does EBITDA mean & when is it used?

Answer 6

Earnings Before Interest, Tax, Depreciation and Amortisation.

-Refers to actual operating profit (different to FMOP)

Question 7

what is FMOP?

Answer 7

Fair Maintence operating profit aka adjusted net profit

turnover - (costs + working expenses + operator remuneration) x MV

Question 8

Dunn and Bradstreet - when would you use and what are the ratings?

Answer 8

To check the covenant strength of a potential tenant
The rating= firms turnover 5A-H (5A turnover of £35m+)
the number = risk 1-5 (1 being lowest risk)

Question 9

What should public limited accounts show?

Answer 9

income statement
independent auditors report
chairman statement
statement of financial position

Question 10

What are LSH’s objectives?

Answer 10

Short term- profitability
Long term- follow planet marks framework for Sustainability to reach net zero by 2050.

Question 11

How does your team cooperate?

Answer 11

-fee splits
-work allocated
-compliance procedures
-individual targets

Question 12

What kind of company is LSH?

Answer 12

Private Limited
-shares not publically traced

Question 13

What accounts need audited?

Answer 13

-10m turnover
-5m assets
-50 employees

Question 14

What does fair value mean?

Answer 14

When buyer/seller agree freely on a price without going to market

Question 15

What is ADR and what are its benefits?

Answer 15

Alternative Dispute Resolution
-cheaper
-faster
-easier
-less formal
-flexible
-confidential

Question 16

What are the three key dispute resolution processes?

Answer 16

1. Negotiation
2. Medition/ Concilation
3. Adjuction: 3rd party resolution eg litigation and arbitration

Question 17

What is an expert witness?

Answer 17

Provides evidence
duty to court- not client
must have appropriate knowledge/skills
must sign truth statement
no incentive fees
not immune from civial action

Question 18

How could LSH improve diversity?

Answer 18

Maternity Policy
Recruitment techniques
training on unconscious bias
pronouns

Question 19

How is RICS addressing D + I?

Answer 19

RICS Inclusive Employer Mark
Brichard Review

Question 20

What is LSH’s AML procedure?

Answer 20

surveyor fills out form + gives to compliance officer

Question 21

When do you undertake AML checks?

Answer 21

All freehold properties
lettings over £8.5k

Question 22

If you received a complaint, what would you do?

Answer 22

Inform my line manager and appointed Complaints Handling Officer
CHO providers written summary to complainant
case recorded and procedures reviewed

Question 23

What is an inclusive environment?

Answer 23

an environment designed for people with diverse needs to be able to use it.

Question 24

What are the benefits of inclusive space?

Answer 24

Allows a range of people with diverse needs to participate

Question 25

what does the equality act (2010) cover?

Answer 25

provides protection against a range of inequality. identifies 9 types of discrimination and 4 types of inequality

Question 26

How do you deal with a demanding client?

Answer 26

understand objectives communication keep records of communication try to resolve problem - if not- best to let them go if too many issues

Question 27

what do you do if your client ignores your advice?

Answer 27

Reiterate advice to them ensure advice is recorded advise of risks if ignore

Question 28

What are the main principles involved in client care?

Answer 28

communication knowing objectives CHP COI

Question 29

What did you avoid in fee proposal?

Answer 29

Aggressive fee cutting + collusion with competitors

Question 30

is changing fee after proposal allowed?

Answer 30

Yes- as long as works have changed. Otherwise, no.

Question 31

What were the main elements within your fee proposal?

Answer 31

T and C's scope of services inclusions and exclusions

Question 32

What would you do if a complaint was made against you?

Answer 32

Complaints Handling (2016) -acknowledge 7 days -address 18 -inform line manager/complaints handling officer -CHO write up summary and strategy to provide to complainant

Question 33

What happens if the complainant is not happy with outcome?

Answer 33

Independent redress scheme would be involved. scheme is chosen by firm

Question 34

What is LSH's complaint handling procedure?

Answer 34

-Inform Line Manager and CHO (David Gilbert)

Question 35

What is the main RICS guidance on Bribery and Corruption?

Answer 35

Bribery Act (2010)

Question 36

What does the bribery act say?

Answer 36

Aims to reduce bribery main principles PCRDCM

Question 37

What constitutes a bribe?

Answer 37

when someone offers an advantage in exchange for a gift, money, of service for an action which is illegal/breach of trust

Question 38

What are the four offences under the Bribery Act?

Answer 38

to make a bribe to receive a bribe to prevent a bribe bribe public official

Question 39

How could you prepare for a negotiation?

Answer 39

agree objectives detailed research decide non-negotiables -develop approach -walk away when you need to

Question 40

How are some forms of communication suitable than others?

Answer 40

legal matters- communication trails confrontational to safeguard surveyor

Question 41

Benefits to increased diversity?

Answer 41

increases innnovation increased talent poole enhanced reputation

Question 42

How are RICS encouraging diversity?

Answer 42

Inclusive Employer Equality Mark Diversity WG's

Question 43

What are some of the protected characteristics under the Equality Act (2010)

Answer 43

Sex, sexual orientation, disability, race, religion, marriage and partnership, maternity and pregnancy.

Question 44

What is the Equality Act?

Answer 44

Bans people from discrimination in workplace and society.

Question 45

What are some of the different working or leadership styles you have come across?

Answer 45

-Logical -Detail-orientated -Supportive -idea Orientated

Question 46

What are some of the characteristics that allow for a diverse workforce?

Answer 46

Different cultures Ages sexual orientation gender!!! race/religion

Question 47

How can LSH be more inclusive?

Answer 47

Training to employees recruitment methods equal pay

Question 48

What is the difference between an informal and a formal complaint?

Answer 48

Formal- assigned to Complaints Handling Officers Informal- made anonymously- no follow up (line manager)

Question 49

What are the key offences under the AML leglislation

Answer 49

Money Laundering, Terrorist Financing and Transfer of Funds (2017)

Question 50

What are the key requirements under the AML regulations?

Answer 50

- limit of 10,000 euro acceptance of cash -detailed record keeping of procedures undertaken by senior / board members of staff to take responsibility for compliance -have a nominated person to report any suspicious behaviour to national crime agency

Question 51

Is there any time that your duty of the client is passed and you would have to act in duty for anyone else?

Answer 51

Ethics Decision Tree -facts -legal -competence of it goes to court -duty to court, not client

Question 52

What is the legal basis for an inclusive environment?

Answer 52

Equality Act (2010) makes discrimination illegal under 9 protected characteristics

Question 53

Where would you find equity in a statement of audited accounts?

Answer 53

Balance sheets

Question 54

If a tenant had a good D and B rating, how would this impact your yield?

Answer 54

Reduce risk- lower yield

Question 55

You've mentioned Health and Safety Act 1974, please can you talk me through some other legislation?

Answer 55

PPE at Work regulations (2022)- employers to ensure provision of appropriate PPE The Fire Safety Act (2021) Building Safety Act (2022) Smoke Free Regulations (2017) - illegal to smoke in enclosed spaces, no smoking sign must be displayed, local authority to enforce, penalties (£50-£2,500).