M100 Exam Latest Update 2024-2025 Actual Exam 160 Questions and 100% Verified Correct Answers Guaranteed A+
Acceleration - CORRECT ANSWER: Pay assessments ahead (entire year)
Accrual based - CORRECT ANSWER: Income- when earned
Expense- when incurred
Administrative resolution - CORRECT ANSWER: Affects internal operations of the
community association (i.e.: where board meetings are held)
Aggregate limits - CORRECT ANSWER: Limits to the total amount that the insurer will pay out under the policy
Alternative dispute resolution (ADR) - CORRECT ANSWER: Encouraging people to
comply with rules and regulations by using trained uninvolved 3rd party
Arbitration - CORRECT ANSWER: Win lose- lose lose
Articles of incorporation - CORRECT ANSWER: Documents that establish the
corporation
Assessments receivable insurance - CORRECT ANSWER: Applies to situations in
which a covered loss happens to the property in the community association is unable to collect assessments from the owner
Assets - CORRECT ANSWER: Anything owned that has value
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Association derives legal obligation from - CORRECT ANSWER: Federal, state and
local laws- legal documents, lender requirements, standards set by professional bodies
Audit - CORRECT ANSWER: Examination of the accounting records and procedures of
an organization for the purpose of verifying the accuracy and completeness of financial records
Authority to collect assessments - CORRECT ANSWER: Federal laws and regulations
State statutes Governing documents
Bad debt right off - CORRECT ANSWER: Uncollectible debts
Balance sheet - CORRECT ANSWER: Summary or snapshot of the financial condition
of the association at a specific point in time
Basic form - CORRECT ANSWER: Property insurance that provides the least property coverage.
Basic types of community association - CORRECT ANSWER: Planned communities,
condominium, and cooperatives
Benefits of incorporating - CORRECT ANSWER: Limits liability
Makes it easier to deal with contractors
Bid specifications - CORRECT ANSWER: Detailed instructions about the products or services requested
Broad form - CORRECT ANSWER: Property insurance coverage that only ensures
specified perils.
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Budget components - CORRECT ANSWER: Revenue
Expenses
Bundle of rights - CORRECT ANSWER: Declaration, CCR, master deed
Business income insurance - CORRECT ANSWER: Covers the loss of certain types of
business income
Bylaws - CORRECT ANSWER: Formally adopted regulations for the administrative and management of a community association
Cash based - CORRECT ANSWER: Income - when received
Expense- when paid
Chapter 11 bankruptcy - CORRECT ANSWER: Corporate reorganization
Chapter 13 bankruptcy - CORRECT ANSWER: Personal re-organization (make a deal
to pay back a cetain amount)
Chapter 7 bankruptcy - CORRECT ANSWER: Straight bankruptcy or liquidation for an individual or corporation
Claims made - CORRECT ANSWER: Whatever company is ensuring the association
one at the claim is made it will cover the loss even though the wrongful act may have occurred one another carrier was insuring the association
Coinsurance - CORRECT ANSWER: Standard element and most property policies that
obligates the insured to maintain a certain amount of property insurance on the entire property or per structure, based on a stated percentage, usually 80%.
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