ARE Live: Practice Management Mock Exam

Join Black Spectacles and architect Mike Newman for our Practice Management mock exam. With these practice questions, we will explore issues related to creating a team, ethics, standard of care, and everything else you should know about the practice management side of architecture.
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[@brianlee225]

Starts at 7:15

[@CaptTrylaScott]

Question 4: consider adding rate factors to your questions. How would anyone guess between 2.5 and 4.5 as a multiplier?

[@tommoss9033]

this should be inferred from the kfpi's of a healthy practice per chapter 7 of ahpp. a targeted overhead rate is about 1.5, a targeted break-even rate is 2.5, and then any profit calculated into the billing fee would be factored into the net multiplier, for which the industry standard is 3.0+

[@designereats3661]

I know right! They should’ve added the direct expense multiplier. This is a poorly written question!

[@weiningzhong]

7:20

[@BlackBirdiesFly]

On question five, is it technically asking about a CM@R delivery method?

[@jonathanbonaparte5673]

$30x3.5=105 ? Not 30

[@yonatannigen575]

yes, but he's saying it can be anywhere between 2.5 and 4.5. Typically the net multiplier is greater than 3.0, so the only logical answer is 30 hours. $30/hour X 3.33 (net multiplier)= $100 per hour, the billable rate. 3,000 hours/$100 per hour = 30 hours. Do the math for each answer to figure out the net multiplier and you should understand which answer(s) make sense and which don't.