ARE 5.0: PcM_1_Business Operations Flashcards
What three conditions must be present before an architect can be proven negligent?
The three conditions for this are
- a legal duty has been established between the parties
- the duty has been breached
- the breach cause damage or injury
Why would an architecture firm decide to operate as an S corporation as opposed to any other type of corporation?
This type of corporate structure avoids double taxation of corporate income.
What are the elements that define “standard of care”?
The elements that define this are
- same community
- same time frame
- same or similar facts and circumstances
What are the six canons of the American Institute of Architects Code of Ethics?
This document is organized according to the six principles of professional responsibility.
- General Obligations
- Obligations to the Public
- Obligations to the Client
- Obligations to the Profession
- Obligation to Colegues
- Obligations to the Environment
During an employee job review, what are the two topics that should not dominate the conversation?
The two areas of job performance that are not appropriate topics for lengthy discussion in this conversation are a
- single high point
- rare poor performance
What are the three points that define an independent contractor according to the Internal Revenue Service?
The three elements that define an independent contractor are
- behavioral control
- financial control
- the relationship between employer and worker
What is an employer obligated to make clear to a new employee?
The aspects of working in a firm that this person should make clear to a new employee are
- employee responsibilities
- work duties and compensation
- firm benefits
- working conditions
- termination procedures
What must an architect possess to pursue reciprocal licensure in another state?
In most states an NCARB (National Council of Architectural Registration Boards) certificate
is sufficient, although some states require additional testing for this to occur.
Why would an architect avoid the phrase “with the highest standards” in a contract?
An architects liability may increase or the professional work may be uninsurable with the inclusion of this phrase.
How does public relations differ from marketing?
This kind of firm promotion is not project-centric.
What are the five most important changes made to the 1909 American Institute of Architects Code of Ethics?
The five most important changes to this document allow an architect to
- compete for projects on the basis of fee
- advertise
- replace another architect on a project
- engage in design-build projects
- offer free design services to secure a commission
What is the purpose of an Employer Identification Number (EIN)?
This number is assigned by the Internal Revenue Service and is used for filing taxes and communication with the IRS.
What is the main advantage of a studio office organization versus a departmental office organization?
This form of firm organization provides the best opportunity for group problem-solving.