Business Operations (PcM) Flashcards

1
Q

What are the five most important changes made to the 1909 American Institue of Architect’s Code of Ethics?

A

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

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2
Q

What are the elements that define “Standard of care”?

A

The elements that define this are
* Same community
* Same time frame
* Same or similar facts and circumstances

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3
Q

What is the main advantage of a studio office oraganization versus a departmental office organization?

A

This form of firm organization provides the best opportunity for group problem-solving.

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4
Q

What are the six cannons of the American Institue of Architects code of Ethics?

A

Six principles of professional responsibility
* General Obligations
* Obligations to the Public
* Obligations to the Client
* Obligations to the Profession
* Obligations to Colleagues
* Obligations to the Environment

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5
Q

During an employee job review, what are the two topics that should not dominate the conversation?

A
  • single high point
  • rare poor performance
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6
Q

How does public relations differ from marketing?

A

This kind of firm promotion is not project-centric.

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7
Q

Why would an architect avoid the phrase “with the highest standards” in a contract?

A

An architect’s liablility may increase or the professional work may be uninsurable with the inclusion of this phrase.

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8
Q

what are the three points that define an independent contractor according to the Internal Revenue Service?

A
  • Behavioral control
  • Financial control
  • The relationship between employer and worker
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9
Q

What is the purpose of an employer Identification Number (EIN)?

A

This number is assigned by the Internal Revenue Service and is used for filing taxes and communicating with the IRS.

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10
Q

What is an employer obligated to make clear to a new employee?

A

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 procedure
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11
Q

Why would an architecture firm decide to operate as an S corporation as opposed to any other type of corporation?

A

This type of corporate structure avoids double taxation of corporate income.

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12
Q

What must an architect possess to pursue reciprocal licensure in another state?

A

In most states, an NCARB (National Council of Architectural Registration Boards) certificate is sufficient, although some states require additional testing for this to occur.

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13
Q

What three conditions must be present before an architect can be proven negligent?

A
  • A legal duty has been established between the parties
  • The duty has been breached
  • The breach caused damage or injury
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