Which of the following actions is considered a prohibited act?

The correct choice highlights that both applying payments incorrectly and signing on a reserve account are considered prohibited acts within the context of community management in Nevada.

Applying payments incorrectly involves misallocating funds, which can lead to significant financial discrepancies and undermine the trust of community members. Accurate application of payments is essential for maintaining precise financial records, ensuring that all accounts are settled appropriately, and upholding the integrity of the community’s financial dealings.

Signing on a reserve account typically relates to a manager's authority over association funds. If a community manager improperly signs documents related to reserve accounts, it might lead to unauthorized access or misuse of those funds. Proper oversight of reserve accounts is necessary to maintain financial stability and compliance with both state regulations and the community’s governing documents.

Both of these actions disrupt financial integrity and are seen as serious violations in the community management field, thereby classifying them as prohibited acts.