General

Question 1

Tell us about a negotiation you have done.

Answer 1

When negotiating a variation on DSQ office fit out, the contractor claimed additional works inline with an already agreed instruction.

• met on site
• ensured I met with the Qs who is able to negotiate on behalf of the contractor.
• strategy was to challenge the extent of the additional works, I had already understood there were additional works that couldn’t have been forseen at the point of instruction and had priced up what I believed the additional cost should be.
• listened to their point of view
• presented my own
• came to a mutual agreement
• confirmed it in writing and included it in the cost report for instruction.

Question 2

What is a P&L and what can you tell from it?

Answer 2

A summary of the incomings and outgoings of a business in a set period of time.

You can see the companies turnover from the P&L

Question 3

What’s gross profit?

Answer 3

revenue - expenditure

Question 4

What’s operating profit?

Answer 4

gross profit - operating expenses (OpEx e.g. payroll, and insurances.)

Question 5

What’s net profit?

Answer 5

operating profit - expenses associated with interest or tax

Question 6

What is a Balance Sheet and what can you tell from it?

Answer 6

A snapshot of a businesses assets and liabilities at a moment in time.

Balance sheet shows you how much debt the company is trading on

Question 7

What accounts does a company have to publish annually?

Answer 7

• Balance sheet
• Profit and loss account
• Notes about the accounts
• A director’s report

Question 8

As an LLP what accounts do you need to submit to companies house?

Answer 8

• A profit and loss account
• A balance sheet
• Notes to the accounts
• An auditors’ report, if applicable

Question 9

What can you tell about a contractor from their account

Answer 9

Information about their financial position, business costs, and other aspects of their work

Question 10

What is the current law in place making provision about offences relating to bribery?

Answer 10

Bribery Act 2010

Question 11

What are the seven rights of an individual under GDPR?

Answer 11

rights to have data;

• erased
• amended
• restricted
• right to portability of their data
• right not to be subject to a decision based solely on automated processing

Question 12

What’s the difference between GDPR and Data Protection act 2018?

Answer 12

GDPR applies to EU and non-EU organisations that process the data of EU citizens..

Question 13

What is the maximum fine under GDPR?

Answer 13

20 million euros or 4% of the companies global turnover (whichever is higher)

Question 14

What is the maximum fine under the Data Protection act 2018?

Answer 14

£17.5 million or 4% of the companies global turnover

Question 15

How might you respond if offered a gift?

Answer 15

• Typically ‘No’

However I could also;
- Consult the RICS decision tree
- Check value of the gift
- Check the timing of the gift and who it is from
- Log it on the companies gift register

Question 16

Talk me through the RICS decision tree

Answer 16

The RICS ethics decision tree prompts me to ask the following questions;

• do I have sufficient facts on the issue?
• is it legal?
• is it in line with the RICS rules of conduct?
• Have you consulted appropriate people and assessed the risks involved
• is there clear reasoning in reaching the decision
• is the decision informed?
• would I be content if my actions were made public.

Then either act or record the decision

Question 17

What are capital allowances and how do they affect clients’ accounts?

Answer 17

A way of gaining tax relief on certain types of capital expenditure, typically on property plant and machinery
*e.g. carpets in new build homes can qualify for capital allowances as they’re considered as plant by HMRC

Question 18

Name 5 professional groups in the RICS

Answer 18

There are 18

• Quantity Surveying and Construction
• Project Management
• Dispute Resolution
• Management Consultancy
• Valuation

Question 19

What is included in the PCI (Pre-Construction Information)?

Answer 19

• Project information
• Health and Safety
• Environmental assessments
• Building plans and specifications
• Safety assessments (Risk)

Question 20

Why do RICS recommend holding data for 15 years?

Answer 20

12 years for deed then 3 years for latent

Question 21

Under CDM what documents are required and who is responsible for producing them? (3)

Answer 21

• Construction phase plan - Principal Contractor
• Health and safety - Principal Designer, then the Client esablishes who with update it
• PCI - Client

Question 22

How to prevent PI claims?

Answer 22

• Record keeping
• Only advise on things we are supposed to
• Good communication
• Good management

Question 23

What are some Environmental assessment methods?

Answer 23

• EPC
• BREEAM
• NABERS
• LEED

Question 24

What is the RICS motto?

Answer 24

“Est Modus in Rebus”, which is Latin for “there is measure in things”

Question 25

What is the structure of the RICS?

Answer 25

• Self-regulated.
• Bye laws determine how the RICS is regulated.
• Governing council, manage and agrees strategy
• Standards and Regulation board, Audit committee, Management board they execute the strategy

Question 26

What is the Bichard Review?

Answer 26

RICS commissioned Lord Michael Bichard to undertake an independent review into the institutions purpose governance, and strategy.

Following the recommendation of the Levittt review in 2021 which advised on a wider examination of purpose, governance, and strategy of the RICS.

Question 27

What were the recommendations of the Bichard Review?

Answer 27

36 recommendations, including:

• revising RICS metrics to give younger members a say and have a younger member sit on the governing council
• Establishment of a diversity and inclusion panel
• Commission independent reviews every 5 years of the effectiveness of the RICS to serve the public advantage.

Question 28

What has the RICS done since the Birchard review?

Answer 28

• Launched ‘myRICS’ community (a virtual space members and candidates can connect and share knowledge.
• Chairs and members have been appointed for the DEI and Sustainability panel
• New global regional budgets released for local events and initiative

Question 29

When setting up a practice what 7 things must a company do?

Answer 29

• Obtain RICS startup policy pack
• Register with RICS
• Appoint RICS contact officer
• Complaints handling procedure
• PII
• Rules of conduct for firms
• Use the ‘regulated by RICS’ on all material

Question 30

What are the RICS PII requirements?

Answer 30

• ‘each and every’ claim basis or aggregate plus unlimited reinstatement E
• minimum policy wording P
• minimum level of cover based on companies turnover the previous year C
• maximum level of uninsured excess M
• underwritten by a listed insurer U
• run-off cover R
• fully retroactive R

Question 31

What do firms need to include in their annual returns to the RICS? (6)

Answer 31

• Staffing
• Nature of clients
• Training provisions
• Complaints handling procedures
• PI details
• Confirm if the firm is holding clients money

Question 32

What will must a firm do if they’re holding Clients’ money?

Answer 32

• Secure accounting and data systems
• Money is separate and identifiable
• Clients must have access
• Provide a running balance

Question 33

What are the Professional obligations of firms?

Answer 33

• Adequate PII
• With a sole principal must make arrangements for the ongoing nature of the business in the case of their death
• Cooperate with the RICS
• Provide all info requested by Standards and Regulation boards
• Must display ‘regulated by RICS’ on literature

Question 34

How can you spot collusion?

Answer 34

• If tender returns are specifically higher or lower than each other

Question 35

What would you expect to fin din an appointment doc?

Answer 35

• Rics Standard form of Consultant appointment
• Schedule of services –EA/QS Checklist
• Fees and Payments
• Clients Brief – Assumed programme
• Collateral Warranty (if Required)
• Schedule of Amendments