Final Coaching 2014 Mock Exam

GENERAL/FUNDAMENTALS OF REAL ESTATE

Choose the BEST Answer 12. Corporations or partnerships may acquire land in the Philippines
provided that it is
1. Those who had passed the DTI licensure examinations in 2007 and A. Not more than 1000 has.
prior years but failed to obtain their license upon effectivity of R.A .No. B. Not more than 40% foreign capital
9646 may still register upon effectivity of the RESA without C. Not more than 5 hectares
examinations provided D. Not more than 1 hectare for residential land
they have earned CEP or CPE units as follows:
A. 120 CEP or CPE credit units 13. The following is not exempted from basic real estate tax imposed
B. 12 CEP or CPE credit units by the city :
C. 15 CEP or CPE credit units A. Real property owned by the Republic of the Philippines
D. 18 CEP or CPE credit units B. All lands, buildings and improvements actually, directly and
exclusively used for charitable, religious or educational purposes;
2. Ownership of land in the Philippines is governed by law such as, the C. Private cemeteries or burial grounds;
1987 Philippine Constitution. In addition, it may also be provided by D. Machineries and equipment that are actually, directly and
A. Executive Order of the President exclusively used by local water district and
B. Special laws of the Legislature government owned or controlled corporations engaged in the supply of
C. House Bills in Congress water and/or generation of electric
D. Special Exemption Orders power

3. The principle that states that all lands of the public domain belong to 14. David, an Australian citizen, may not be allowed to own the
the state is referred to as following property in the Philippines
A. Public domain doctrine A. Residential condominium unit
B. Regalian doctrine B. Commercial Office condominium unit
C. Patrimonial doctrine C. House and lot
D. State doctrine D. House built on leased land

4. As a real estate practitioner, we should but not: 15. Janet wants to become a dual citizen, while in the Philippines, she
A. willingly share the lessons and experiences with fellow brokers must file a petition for dual citizenship with this government agency
B. solicit a listing currently listed exclusively with another broker A. Department of Foreign Affairs
C. pass a listing to a third broker without the knowledge and consent of B. Philippine Embassy
the listing broker C. Bureau of Civil Registry
D. put sign or notice of a property for sale without authority from the D. Bureau of Immigration
owner
16. The Register of Deeds required an affidavit of waiver from a
5. Under the law, private corporations and associations may hold such foreigner who is married to a Filipina to register the sale, which is
alienable lands of the public domain onlyby lease, not to exceed a total considered
area of A. A valid requirement of the Register of Deeds
A. 1,000 has. B. Void
B. 500 has. C. Voidable
C. 12 has. D. Required only if the foreigner is a husband
D. 3 has.
17. The best evidence of ownership of a condominium unit is
6. The national integrated organization of natural persons duly A. Tax declaration of the condo unit
registered and licensed as Real Estate Service B. Condominium Certificate of title
Practitioners is called C. Transfer certificate of title
A. Accredited Practitioners Organization D. Contract to sell on the unit
B. Integrated and Accredited Professional Practitioners
C. Accredited and Integrated Professional Organization 18. The Family Code of the Philippines, under EO 209, became
D. Accredited and Integrated National Organization effective on
A. August 3, 1988
7. An idle land consisting of 2.5 hectares valued at P 100 per square B. August 3, 1996
meter was being taxed by the municipal assessor and classified as C. August 8, 1988
agricultural. If the idle land tax imposed is 4% by the ordinance, how D. August 1, 1988
much will the owner pay for idle land tax ?
A. P 40,000 19. For the acquisition of a residential condominium unit by a former
B. P 100,000 natural born citizen who has become a foreigner, it is required that
C. P 20,000 A. Execute a sworn statement under BP 185
D. P 50,000 B. Must become a dual citizen
C. Not used in buy and sell of property
8. The power of the state to regulate the use of one’s property for legal D. Not exceed 40% of the units
purposes only is referred to as
A. Escheat 20. The Board, in coordination with the AIPO of real estate service
B. Eminent domain practitioners, shall prepare, update and maintain a roster of real estate
C. Police power service practitioners which shall contain the following information,
D. Power to issue permit except
A. names of all registered real estate service practitioners
9. In determining the value of the house and the tax declaration being B. field of specialization in real estate service
presented was issued 3 or more years, the seller shall submit the C. their residence and office addresses
following to the BIR D. license numbers
A. An updated tax declaration
B. The latest tax declaration 21. It is the conveyance of the right to enjoy the fruits of the property
C. Certification from the Assessor whether the same is still the owned by a person.
latest or not A. Contract of lease
D. Certification of improvement by the Assessor B. Usufruct
C. Right of way
10. It is the right given to an owner of an adjoining land to pass or have D. Sale of property
access thru another land is called
A. Right of way easement 22. For Cebu City, the basic tax it may charge for real estate taxes
B. Right of way passage shall be
C. Right of way for people A. Not exceeding 1% of the assessed value
D. Right o way encroachment B. Not exceeding 1% of the fair market value
C. Not exceeding 2% of the fair market value
11. A lessee who rented out an office space will pay his monthly rental D. Not exceeding 2% of the assessed value
to the owner in the amount of P35,000 per month and a deposit of
P70,000. How much withholding tax must he deduct from the payment 23. The following is not considered as good evidence or proof of
A. P 1,750 ownership of one’s land
B. P 3,500 A. tax declaration,
C. P 5,250 B. realty tax receipts,
D. P 10,500 C. deed of sale
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Final Coaching 2014 Mock Exam
D. lot plan
24. As best evidence of ownership in fee simple is the transfer
certificate of title as it is imprescriptible and
A. Indefeasible
B. With original copy in the Register of Deeds
C. Issued by the Register of Deeds
D. Signed by the Register of Deeds
25. Under BP 185, urban land shall be land located in
A. Urban areas
B. Commercial areas
C. Residential subdivisions
D. Central business district areas
26. No deed of sale in favor of a transferee under Batas Pambansa
Blg. 185 shall be registered by the Register of Deeds unless
accompanied by a sworn statement showing the following, except:
A. names and addresses of his parents, of his spouse and children, if
any;
B. area, location and mode of acquisition of his landholdings in the
Philippines, if any;
C. his intention to reside permanently in the Philippines;
D. how the transferee became a foreigner
27. The following person cannot be considered to be a Filipino citizen
under the present law
A. Born of Filipino Father
B. A dual citizen under RA 9225
C. Declared a Filipino citizen by the President
D. A naturalized Filipino
28. The PRBRES shall have the power to prescribe guidelines and
criteria for this requirement for real estate service practitioners in
consultation with the accredited and integrated professional
organization of real estate service practitioners
A. Continuing Professional Education
B. Continuing Education for Professionals
C. Continuing Education Program
D. Continuing Practitioners Education
29. Referred to also as age of majority, at what age may a person buy
and sell property on his or her own
A. 18 years old
B. 18 years old with the consent of the parents
C. 18 years old with legal guardian
D. 21 years old
30. For a couple planning to get married, the property relations where
each will own his or her own properties now and in the future, is
referred to as
A. Relative Community of Property
B. Separation of Conjugal Property
C. Conjugal Partnership of Gains
D. Absolute Community of Property
31. In case of non-redemption of the property foreclosed extrajudicially
by the bank, when is the deadline to pay the capital gains tax by the
highest bidder
A. Within 30 days from auction sale
B. Within 30 days from registration of certificate of sale
C. Within 30 days from expiration of period of redemption
D. Within 30 days from notarization of the certificate of sale
32. For an applicant for the licensure examination for real estate
consultants, he/she must show proof that he/she has experience as a
licensed real estate broker for at least
A. Five (5) years
B. Ten (10) years
C. Fifteen (15) years
D. Three (3) years
33. Under the Code of Ethics, the following is considered ethical,
A. Negotiate a property listed directly with the owner
B. Cooperate with other brokers on property listed even if not licensed
C. Willingly share with other brokers the lessons from his
experience and study
D. Inform and criticize among fellow brokers another broker who is not
handling the sale properly
34. The Declaration of Principles of the Code of Ethics for Realty
Service Practitioners clearly states the Golden Rule which says
A. “Treat others as you want them to be treated”
B. “Do not do unto others what you want others do to you”
C. “Do unto others what you do not want others do unto you “
D. “Treat others as you like them to treat you”
35. The following shall be considered under R.A. No. 9646 as
engaging in real estate service practice
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A. A person, natural or juridical, who shall directly perform by
himself/herself the acts mentioned in Section 3
hereof with reference to his/her or its own property, except real estate
developers
B. Any receiver, trustee or assignee in bankruptcy or insolvency
proceedings
C. Any person acting pursuant to the order of any court of justice
D. Any person who is a duly constituted attorney-in-fact for
purposes of sale, mortgage, lease or exchange, or other similar
contracts of real estate, who require compensation or
remuneration
36. A Professional Identification Card shall likewise be issued to every
registrant for real estate service practice. upon payment of the required
fees but does not indicate the following
A. registration number
B. date of release by PRC
C. expiration date
D. duly signed by the chairperson of the Board
37. A listing currently listed with a real estate broker and obtained and
acquired by another broker must not be solicited or obtained by said
broker unless :
A. The authority of the listing broker is non-exclusive
B. The authority of the listing broker has expired and the owner did not
renew the authority
C. The authority of the listing broker has been revoked and the owner
gives only non-exclusive listing
D. The owner, without solicitation from the new broker, offers to
list the same with the new broker after the authority of the listing
broker has expired or has been revoked
38. The bundle of rights excludes the following as a right of ownership
A. Right to use
B. Right to put up structure beyond restrictions
C. Right to enjoy the fruits on the land
D. Right to possess
39. A sign of a property for sale or lease should not be placed on a
vacant parcel of land by more than one broker and only if
A. The broker has an exclusive listing
B. The sign should be of the same size as the other signs
C. The broker is authorized by the owner
D. The address of the broker is indicated on the sign
40. The following acts of a broker are considered unethical. Which act
is considered ethical?
for other persons such as client’s money and similar items.
A. Encouraging the parties to a sale to undervalue the sale
B. Keeping a special bank account, separate and distinct from his
own funds, for all monies received in trust
C. Disclosing his client’s confidential personal information to a fellow
broker in order to close the sale.
D. Delaying submission of a formal offer that he had received from a
prospective buyer in the hope of securing a higher offer.
41. There is a Professional Regulatory Board of Real Estate Service,
to be chosen from three (3) recommendees chosen by the
Commission from a list of nominees submitted by the accredited and
integrated professional organization of real estate service practitioners
consisting of
A. Three (3) nominees per position
B. Five (5) nominees per position
C. Ten (10) nominees per position
D. Two (2) nominees per position
42. A broker has just received from a fellow broker’s client a written
offer to purchase a property of his seller, together with a check for
earnest money payment. Which of the following steps is the most
proper and ethical for him to take?
A. Call another fellow broker whose client is also interested in the
property to improve the offer.
B. Call the seller immediately to inform him about the offer and
submit both the written offer and the earnest money payment.
C. Show the offer to another prospective buyer in the hope of getting a
better price for the seller.
D. Reject the first offer outright based on his opinion that the offered
price is too low.
43. Under DTI then, the Code of Ethics covering practitioners is
referred to as
A. National Code of Ethics for the Realty Service Practice
B. National Code of Ethics for Practitioners
C. Code of Ethics for the Service Practice
D. Code of Ethics and Responsibilities
44. It is not a ground for the Board not to register and issue a
certificate of registration to any successful examinee
after passing the examinations
Final Coaching 2014 Mock Exam
A. convicted by a court of any criminal offense involving moral
turpitude
B. found guilty by his or her association of violation of the code
of ethics
C. found guilty of immoral or dishonorable conduct after investigation
by the Board
D. has been found to be psychologically unfit.
45. When a licensed broker accepts a listing from a fellow practitioner,
the following should not be followed
A. The agency of the broker who offers the listing should be respected
until it has expired and the listing
comes to his attention from a different source.
B. The agency of the listing broker should be respected
perpetually in all dealings with his client/principal.
C. The agency of the broker who offers the listing should be respected
until the owner, without solicitations, offers to list with him
D. The listing should not be passed to a third broker without the
knowledge and consent of the listing broker.
46. For the results of the licensure examination, it shall be released by
the Board from the last day of the examination within
A. Five (5) days
B. Ten (10) days
C. Fifteen (15) days
D. One (1) month
47. Which one of the following acts of a broker can be considered
within the bounds of the code of ethics?
A. Encouraging the parties to a sale to indicate a consideration which
is lower than the actual price.
B. Serving as a witness in court proceedings involving a property
owned by his client.
C. Criticizing the acts of another broker who does not know how to
handle the transaction.
D. Delaying submission of a formal offer that he had received from a
prospective buyer.
48. In case the heirs will just file and pay now the estate tax return of
their deceased father who died 10 years ago or sometime 2003, the
value of the property of the estate shall be based on
A. Value of the BIR or zonal value upon filing
B. Value at time of death of the Assessor
C. Value at the time of filing in 2014 of the BIR or assessor whichever
is higher, at the time of filing
D. Value of based on the BIR or Assessors value whichever is
higher, at the time of death
49. In an ad in a newspaper which one of the following newspaper line
ads is blatantly unethical?
A. “HOUSE ON A VERY QUIET NEIGHBORHOOD”
B. “WITH 24 HOURS SECURITY GUARDS!”
C. “THE VALUE OF THIS PROPERTY WILL INCREASE IN ONE
YEAR!”
D. “COOL WEATHER!”
50. The Board shall also prescribe the essential requirements as to the
curricula and facilities of schools & colleges seeking permission to
open academic courses or already offering such courses in real estate
service, in cooperation with the
A. Commission on Higher Education
B. Department of Education and Culture
C. National Association of Real Estate Service Practitioners
D. Philippine Association of Schools and Colleges
51. It is not a subject in the examinations for real estate brokers
A. Condominium concept and other types of real estate holdings;
B. Real estate finance and economics;
C. Basic principles of ecology;
D. Land management and real property laws
52. The real estate broker takes the following steps as a licensed real
estate broker. Which action can be considered unethical?
A. He accepted an exclusive listing for an abandoned house and lot
even with his knowledge that somebody died violently in the property.
B. He proceeds to entertain prospective buyers all the while disclosing
to them the crime committed inside the property.
C. He also advertised the listing giving the exact address for an open
house on one weekend.
D. He invites his friends to attend the open house hoping that real
buyers will feel that there are many others interested in the property.
53. The following applicant is not required to undergo an examination
to be given by the Board as provided for in R.A. No. 9646
A. Real Estate Salesperson
B. Real estate broker
C. Real estate assessor
D. Real estate appraiser
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54. Three of the following are tricks employed by unethical real estate
brokers when bringing clients to view their listings. Which one is
ethical?
A. Using a roundabout route to avoid eyesores near the neighborhood.
B. Employing a cleaning company to freshen the smell of the
house interiors
C. Forecasting changes from residential to commercial zoning to hint
at high rates of value appreciation
D. Showing another inferior property to position his listing as the better
alternative
55. After a sale is consummated, the broker should not do the
following:
A. accept commission from both the seller and buyer without the
knowledge of either of the parties
B. assist the buyer to acquire possession and ownership of the real
property bought as agreed
C. see to it that both the buyer and seller concluded a fair contract
advantageous to both
D. in case called upon to act as a witness, should give testimonies in
the most unbiased, honest, truthful and professional manner.
56. What will be the donor’s tax rate to be paid by a relative if he
donates a parcel of land to his fourth cousin in the net amount of P
12,000,000
A. 20%
B. 30%
C. 15%
D. 10%
57. There are times when a broker has to share his listings with other
brokers. In case of sale, the listing broker should not do the following:
A. share the commission as agreed upon
B. negotiate directly with the client without the consent of the
other broker
C. not seek unfair advantage over his fellow broker
D. not criticize publicly the other broker
58. When advertising a property listing, the broker should not:
A. advertise without the consent of the owner
B. state the real estate broker’s license number in the ads
C. state the true picture of the property
D. advertise within the period of authority
59. To the ethical broker, the principle of full disclosure dictates that
vital information that can affect the property or the transaction should
be disclosed and explained to his client. Which one of the following is
contrary to an ethical disclosure?
A. Changes or planned changes in zoning affecting the property
B. Your opinion of future land values in the vicinity of the
property
C. Details of the contract
D. Sale of similar properties in the vicinity
60. The ethical broker always strives to protect his clients’ interests.
Which of the following is not ethical and is not in the best interest of
your client/seller?
A. Maintain utmost confidentiality on matters not directly related to the
property
B. Strive to be familiar with laws and ordinances on real estate
C. Discuss the negotiating position of your client with the buyer’s
broker to hasten the sale
D. Tell your client/seller that his price is too high and give opinion on
the fair market value of the property
61. The following common property relations may be agreed upon in
the marriage settlement, except
A. Relative Community of Property
B. Separation of Conjugal Property
C. Conjugal Partnership of Gains
D. Absolute Community of Property
62. The National Code of Ethics and Responsibilities under the RESA
does not cover the following real estate practitioner
A. Real Estate Developers
B. Real Estate Assessors
C. Real Estate Salespersons
D. Real Estate Appraisers
63. In case of violation of the Code of Ethics of a broker who is a
member of a real estate service organization, the sanction that may not
be imposed
A. Suspension from association
B. Expulsion from association
C. Removal of license by the association
D. Fine imposed by the association
64. Dan and Jean executed a marriage settlement specifying that the
regime of separation of property shall govern their property relations
during marriage. They are married in proper ceremonies on December
Final Coaching 2014 Mock Exam
1, 1988. Under the Family Code, which of the following systems shall
govern their property relations during their marriage?
A. Absolute community of property
B. Separation of property
C. Conjugal partnership of gains
D. Exclusive property
65. In his advertisements, brochures or announcements regarding a
property for sale, he should present the following, except
A. a true picture of the property, its improvements, or rights and
interests therein
B. material facts concerning the property
C. whatever liens or encumbrances it may have, if any, and
D. the minimum price the owner would be willing to accept
66. As a real estate appraiser, the appraiser may not undertake to
make an appraisal or render an opinion in the
following case
A. If within his field of his experience and competence
B. if he will also be the broker who will sell the property being
appraised
C. he obtains the assistance of another practitioner familiar with such
type of property or
D. the facts are fully disclosed by the client.
67. The State recognizes the vital role of real estate service
practitioners in the social, political, economic development and
progress of the country in the following, but not
A. promoting the real estate market
B. enhanced income from income taxes of practitioners
C. stimulating economic activity
D. enhancing government income from real property-based
transactions
68. The policies, resolutions and rules and regulations issued or
promulgated by the Board shall be subject to the review and approval
by the
A. Professional Regulatory Commission
B. Professional Regulatory Board of Real Estate Service
C. Professional Regulation Commission
D. Office of the President
69. What will the total real estate taxes to be paid by a lot owner for the
year if his land consisting of 450 sqms. And with a fair market value of
the assessor at P6,000 per square meter is classified as commercial
the tax rate is the maximum imposable by the city
A. P 54,000
B. P 27,000
C. P 10,800
D. P 40,500
70. The Chairperson and the Members of the Board shall, at the time
of their appointment, must possess the following qualification of having
been an active licensed practitioner of real estate service, at the time
of his appointment, for at least
A. Five (5) years
B. Ten (10) years
C. Twelve (12) years
D. Fifteen (15) years
71. The chairperson or any member of the Board may be suspended
or removed by the President of the Philippines, upon the
recommendation of the Commission and after due notice and hearing
in a proper administrative investigation to be conducted by the
Commission but not on the following ground:
A. Neglect of duty,
B. Abuse of power,
C. Complaint for murder
D. Unprofessional, unethical conduct
72. The certificate of registration to be issued to the real estate service
practitioner shall be valid until
A. Remains in full force and effect until revoked or suspended in
accordance with R.A . No. 9646.
B. Remains in full force and effect until every 3 years
C. Expires every December 31 of each year
D. Remains in full force and effect until revoked by HLURB
73. The Board may, after giving proper notice and hearing to the party
concerned, revoke the certificate of registration and the professional
identification card of a real estate service practitioner, but not on the
following ground
A. Procurement of a driver’s license by fraud or deceit;
B. Allowing an unqualified person to practice the profession by using
one's certificate of registration
C. Unprofessional or unethical conduct;
D. Malpractice or violation of any of the provisions of R.A. No. 9646
74. As a real estate appraiser, he should not undertake the following,
except
4
A. render an opinion without careful and thorough analysis
B. render an appraisal report in letter form
C. render the appraisal with a predetermined price
D. render an interpretation without considering all factors affecting the
value of the property
75. No foreign real estate service practitioner shall be admitted to the
licensure examination, be given a certificate of registration or a
professional identification card, be issued a Special/Temporary Permit,
or be entitled to any of the privileges under R.A. No. 9646 and the IRR
unless
A. He becomes a dual citizen
B. He is a former natural born Filipino
C. There is foreign reciprocity with his country
D. There is a foreign treaty with his country
76. All real estate brokers and private real estate appraisers shall be
required to post an amount to be determined by the Board, which in no
case shall be less than Twenty thousand pesos (P20,000.00),
renewable every
A. One (1) year
B. Two (2) years
C. Three (3) years
D. Until revoked.
77. A capital asset is property held by the taxpayer, whether or not
connected with his trade/business, such as A. Stock in trade of the
taxpayer
B. Other property of a kind which would properly be included in the
inventory of the taxpayer if on hand at the close of the taxable year
C. Property held primarily for sale to customers in the ordinary course
of his trade or business
D. Property used as residence by the taxpayer
78. The owner of a house and lot sold the property owned by him and
rented out to foreigners in the business of leasing in the amount of
P4,500,000. The rate of tax on the sale shall be
A. 1.5%
B. 3.0%
C. 5.0%
D. 6.0%
79. A real estate broker sold a parcel of land in the amount of
P5,800,000, inclusive of the broker’s commission of 5%. If the capital
gains tax and documentary stamps tax will be for the buyer’s account,
how much will be the net amount received by the owner
A. P 5,162,000
B. P 5,510,000
C. P 5,075,000
D. P 5,423,000
80. Under the Code of Ethics, the Realty Service Practice is not
considered the following
A. a profession
B. business
C. calling
D. occupation,
81. A BIR large taxpayer with its head office located in Manila sold its
parcel of land located in Batangas City to a buyer from Lipa City but
who was doing business in LucenA. Where should the tax on the sale
be paid ?
A. Manila
B. Batangas City
C. Lipa City
D. Lucena
82. How much should the documentary stamp tax be paid on the sale
of a parcel of land whose selling price is P 4,500,000 but the zonal
value was P5,000,000 and the fair market value in the tax declaration
was
P 3,200,000
A. P 75,000
B. P 67,500
C. P 60,000
D. P 48,000
83. The following is not a power of the Professional Regulatory Board
A. Conduct licensure examinations for the practice of the real estate
service profession
B. Prescribe the appropriate, syllabi of the subjects for examination
with their tables of specifications;
C. Issue, suspend, revoke or reinstate, after due notice and hearing,
certificates of registration or professional identification cards for the
practice of real estate service;
D. Remove or expel a real estate service practitioner from his
association
84. An owner who leases out his house regularly in his business of
leasing earns a monthly rental of P50,000 on
Final Coaching 2014 Mock Exam
one residential house and another P 150,000 per month on his rentals D. P 1,650,000
from his office building. How much will be his total output VAT for the
year ? 95. How much will be the quarterly payments for special fund tax will
A. P 216,000 have to be made by the owner if he owns a house and lot valued by
B. P 288,000 the City Assessor at P2,000,000 where the basic tax rate is 2%
C. P 72,000 A. P 8,000
D. P 240,000 B. P 2,000
C. P 4,000
85. The Board shall adopt and promulgate the Code of Ethics and D. P 1,000
Responsibilities for real estate service practitioners which shall be
referred to as 96. No real estate salesperson, either directly or indirectly, can
A. National Code of Ethics for the Realty Practice negotiate, mediate or transact any real estate transaction for and in
B. National Code of Ethics for Practitioners behalf of a real estate broker without first already P 4,000,000 while
C. National Code of Ethics for the Service Practice the fair market value in the tax declaration at the time of sale was P
D. National Code of Ethics and Responsibilities 2,300,000. If the transfer tax is ½ of 1%, how much transfer tax shall
be paid by the buyer
86. The foreclosed asset of a bank was sold in the amount of P A. Taking the examinations as a real estate salesperson
1,900,00 to the buyer. What will be the tax rate on the sale of the said B. Securing an authorized accreditation as real estate
asset salesperson for the real estate broker
A. 1.5% C. Posting the required bond of P 1,000 with HLURB
B. 3.0% D. Obtaining a professional identification card
C. 6.0%
D. 5.0% 97. During the fall of real estate prices, the owner sold a parcel of land
at P3,600,000 but the zonal value then was
87. The real estate broker who intends to practice in the City of Makati A. P 20,000
must also pay the professional tax to B. P 18,000
A. PRC C. P 11,500
B. PRBRES D. P 40,000
C. Bureau of Internal Revenue
D. City of Makati 98. In case the appeal to the Local Board of Assessment Appeals is
not in your favor, where may you bring it up on appeal
88. A real estate broker will be earning a total professional fee in the A. Regional trial court
amount of P2,500,000, inclusive of VAT. How much will be the net B. Central Board of Assessors Appeal
amount to be received by the broker after deducting the withholding tax C. Central Board of Assessment Appeals
if the broker had reported his income would go beyond P720,000 for D. Department of Interior and Local Government
the year
A. P 2,250,000 99. There are four professional sectors under the PRC, to which does
B. P 2,008,929 real estate service belong to
C. P 1,897,321 A. Medical and Health
D. P 2,125,000 B. Business, Education and Management
C. Engineering
89. The Real Estate Service Act of the Philippines governs the D. Technology
following practitioners, except
A. Real Estate consultant 100. What is the monthly penalty interest on the basic real estate taxes
B. Real estate assistant assessor in case one fails to pay the tax due last year on a lot of 500 sqms
C. Real estate salesperson classified as commercial and valued by the assessor at P 2,500 per
D. Real estate dealer square meter with a basic tax rate of 2%
A. P 250.00 per month
90. An owner sold his house and lot consisting of 300 sqms. for B. P 12,500.00 per month
P5,200,000, but based on the BIR Zonal Values, the lot zonal value C. P 3,000,00 per year
was P 8,000 per square meter and verification with the assessor D. P 240.00 per month
showed that the fair market value of the lot was P 1,800,000 and the
house at P 2,200,000. What will be the basis for the payment of
capital gains tax ?
A. P 5,200,000
B. P 4,600,000
C. P 4,000,000
D. P 2,400,000

91. The maximum interest penalty that may be imposed for unpaid real
estate taxes in 2004 shall be
A. 12 months
B. 10 years
C. 36 months
D. Until paid

92. A province or city, or a municipality within the Metropolitan Manila

Area, may levy and annual tax on idle lands at the rate not exceeding
five percent (5%) of the assessed value on the following
A. Residential vacant lot of 1,200 sqms.
B. One hectare of land planted with 60 mahogany trees
C. Lot being disputed among two owners
D. 2 hectares of agricultural land ¾ of which are cultivated

93. As exceptions to the general rule, alien acquisition of real estate in

the Philippines is not allowed in the following case :
A. Acquisition before the 1935 Constitution;
B. Acquisition by hereditary succession ;
C. Purchase by aliens of not more than 40% of the units in a
condominium project;
D. Purchase by a former Filipino citizen

94. The assessor put a fair market value of P5,500 per square meter
on a 1,000 sqm. land located in a outside a residential subdivision and
used in the business of parking space. How much is the assessed
value of the land if the assessment level of residential land is 20% and
commercial land is 50%
A. P 5,500,000
B. P 1,100,000
C. P 2,750,000
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