CPPS - CHAPTER 1: ASSET OR PROPERTY
MANAGEMENT (ACTUAL 2025/2026) COMPLETE
130 CORRECTLY ANSWERED Q UESTIONS
The key objectives of an effective Property Management
function are: to ensure that fiduciary and compliance
requirements are met, business objectives are supported, and to ensure financial stewardship and ____ compliance.regulatory
Every organization, regardless of its size or type, has critical business functions through which they meet business ____ and accomplish their missions; familiar examples of these
functions are: Accounting, Payroll, and Human Resources.
objectives Asset Management is also a core business function.
The remaining 5 (out of 10) Key factors to consider that may help determine which Property Management function model
to use include:
- Complexity of business processes and data management
- Financial resources available 1 / 4
systems
- Direct supervisory responsibility of property staff
- Available Property Custodian network
- Dedicated time available by those who have property
management responsibilities throughout the organization; these may include departmental Property Administrators and Property Custodians
To have effective and efficient ____ over all property, key participants in the property processes must be identified.control Defining each of these roles will eliminate confusion.
"Asset Users":
assigned the tasks of reporting receipt, identification, movement, disposal, maintenance, and other events, either through system transactions or verbal communication, in support of proper property management.Asset Users and Property Custodians are the eyes and ears of the Property Manager or Property Management Organization.
"Chief Financial Officer (CFO) or Provost (for colleges and
universities)": 2 / 4
is, in most cases, ultimately responsible for ensuring all property-related policies and procedures are followed and is usually the authority behind the Property Manager.The Property Manager must have CFO support to establish and issue policies and procedures within the organization.
"Controller's Office or Financial Accounting":
in agreement with the Property Manager, publishes property policy as it relates to the financial records for the organization.These two organizations must collaborate to ensure financial information in the property records is reflected in the general ledger; the property records are used as a subsidiary ledger.
Department Heads, Directors, or Unit Managers":
may be given the role and responsibility of ensuring personnel within their units follow the policies and procedures which have been set forth by the PMO.
"Internal Audit":
their role is to confirm if established processes and internal controls are being followed, and that the organization is 3 / 4
compliant with both internal policies and procedures and applicable external regulations.
Internal audits should be performed independently of those accountable for the property, so it can be incorporated into a formal ____-____ process.self-assessment The Internal Audit department must review and assess weaknesses within the Property Management System.
It is the responsibility of the "Internal Audit department" to assess whether internal controls are adequate, issue audit reports, and request management response to address the weaknesses, and request ____-____ of the resolution of their findings.re-audit
"Physical Inventory Group":
is responsible for obtaining and recording the attributes of existing property by locating the property, verifying quantity, condition, location, and identification; and subsequently identifying discrepancies, such as non-located or miscounted property.
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