Question 1

Executors of estates are specifically exempt from holding a real estate license.

Accepted Answer

A) True 
 B)False

Question 2

The National Association of REALTORS® has sponsored many groups to further enhance the industry;they include all of the following EXCEPT

Accepted Answer

A)  Society of Industrial REALTORS®. 
B)  Farm and Land Institute. 
C)  Society of Real Estate Appraisers. 
D)  Institute of Real Estate Management. 
A)  Society of Industrial REALTORS®. 
B)  Farm and Land Institute. 
C)  Society of Real Estate Appraisers. 
D)  Institute of Real Estate Management.

Question 3

A listing is a contract between a property owner and the salesperson taking the listing.

Accepted Answer

A) True 
 B)False

Question 4

The ultimate responsibility for a mistake in a document prepared by a real estate salesperson rests equally upon the salesperson and the employing broker.

Accepted Answer

A) True 
 B)False

Question 5

Choose the one most appropriate answer for each.
-a requirement for license renewal in many states, its purpose is to help licensees keep up to date in real estate

Accepted Answer

A) broker 
B) continuing education 
C) employment contract 
D) fictitious business name 
E) franchisee
F)independent contractor
G)licensee
H)nonresident license
I)notice of consent
J)principal broker
K)real estate commission
L)real estate salesperson
M)REALTOR®
N)REALTOR-Associate®
O)realty board
P)recovery fund
Q)revoke
R)sales associate
S)securities license
T)suspend 
A) broker 
B) continuing education 
C) employment contract 
D) fictitious business name 
E) franchisee
F)independent contractor
G)licensee
H)nonresident license
I)notice of consent
J)principal broker
K)real estate commission
L)real estate salesperson
M)REALTOR®
N)REALTOR-Associate®
O)realty board
P)recovery fund
Q)revoke
R)sales associate
S)securities license
T)suspend

Question 6

Typically there is no specific educational requirement for obtaining a salesperson license.

Accepted Answer

A) True 
 B)False

Question 7

Choose the one most appropriate answer for each.
-a person who is licensed to bring about real estate transaction for a fee, but who do so only in the employment of a real estate broker

Accepted Answer

A) broker 
B) continuing education 
C) employment contract 
D) fictitious business name 
E) franchisee
F)independent contractor
G)licensee
H)nonresident license
I)notice of consent
J)principal broker
K)real estate commission
L)real estate salesperson
M)REALTOR®
N)REALTOR-Associate®
O)realty board
P)recovery fund
Q)revoke
R)sales associate
S)securities license
T)suspend 
A) broker 
B) continuing education 
C) employment contract 
D) fictitious business name 
E) franchisee
F)independent contractor
G)licensee
H)nonresident license
I)notice of consent
J)principal broker
K)real estate commission
L)real estate salesperson
M)REALTOR®
N)REALTOR-Associate®
O)realty board
P)recovery fund
Q)revoke
R)sales associate
S)securities license
T)suspend

Question 8

When a broker fell on hard times, he stopped paying his dues to NAR for two years. He still uses the REALTOR® designation in his advertising and on his business cards. Which of the following is true?

Accepted Answer

A)  NAR can do nothing 
B)  The broker can be sued by NAR 
C)  The broker can be disciplined by the Real Estate Commission 
D)  The broker is a member for life, so he is free to use the REALTOR® designation 
A)  NAR can do nothing 
B)  The broker can be sued by NAR 
C)  The broker can be disciplined by the Real Estate Commission 
D)  The broker is a member for life, so he is free to use the REALTOR® designation

Question 9

The GRI designation is offered by the state real estate commissions.

Accepted Answer

A) True 
 B)False

Question 10

A recovery fund is a state-operated fund that can be tapped to pay real estate brokers who have claims against other brokers.

Accepted Answer

A) True 
 B)False

Question 11

Real estate salespeople may reasonably be expected to work for a salary.

Accepted Answer

A) True 
 B)False

Question 12

Interpretations of various articles of the REALTORS® Code of Ethics is known as the ____________________ of Practice.

Accepted Answer

The answer of Interpretations of various articles of the REALTORS®...

Question 13

Choose the one most appropriate answer for each.
-to recall and make void

Accepted Answer

A) broker 
B) continuing education 
C) employment contract 
D) fictitious business name 
E) franchisee
F)independent contractor
G)licensee
H)nonresident license
I)notice of consent
J)principal broker
K)real estate commission
L)real estate salesperson
M)REALTOR®
N)REALTOR-Associate®
O)realty board
P)recovery fund
Q)revoke
R)sales associate
S)securities license
T)suspend 
A) broker 
B) continuing education 
C) employment contract 
D) fictitious business name 
E) franchisee
F)independent contractor
G)licensee
H)nonresident license
I)notice of consent
J)principal broker
K)real estate commission
L)real estate salesperson
M)REALTOR®
N)REALTOR-Associate®
O)realty board
P)recovery fund
Q)revoke
R)sales associate
S)securities license
T)suspend

Question 14

A typical broker-salesperson employment contract should include all of the following EXCEPT

Accepted Answer

A)  sales commission splits and earned bonuses. 
B)  services to be supplied by the broker. 
C)  tax withholding requirements. 
D)  employment status. 
A)  sales commission splits and earned bonuses. 
B)  services to be supplied by the broker. 
C)  tax withholding requirements. 
D)  employment status.

Question 15

The term "REALTOR®" is synonymous with

Accepted Answer

A)  real estate broker. 
B)  real estate license. 
C)  a member of NAR. 
D)  a real estate company. 
A)  real estate broker. 
B)  real estate license. 
C)  a member of NAR. 
D)  a real estate company.

Question 16

For a corporation to be granted a license as a real estate broker, all officers must be licensed as real estate brokers.

Accepted Answer

A) True 
 B)False

Question 17

Any person who earns a real estate commission and is not licensed is guilty of breaking the law.

Accepted Answer

A) True 
 B)False

Question 18

When the property being sold is an investment contract in real estate rather than real estate itself, the broker may be required to have a securities license in addition to a real estate license.

Accepted Answer

A) True 
 B)False

Question 19

A state-run program where real estate license fees are used, in part, to pay uncollected judgements against licensees is a

Accepted Answer

A)  bonding program. 
B)  recovery fund. 
C)  multiple listing service. 
D)  equalization fund. 
A)  bonding program. 
B)  recovery fund. 
C)  multiple listing service. 
D)  equalization fund.

Question 20

Which of the following is NOT a real estate license category?

Accepted Answer

A)  Salesperson 
B)  Broker 
C)  Attorney-in-fact 
D)  Both a and c 
A)  Salesperson 
B)  Broker 
C)  Attorney-in-fact 
D)  Both a and c

Exam 18: Licensing Laws and Professional Affiliation

Executors of estates are specifically exempt from holding a real estate license.

The National Association of REALTORS® has sponsored many groups to further enhance the industry;they include all of the following EXCEPT

A listing is a contract between a property owner and the salesperson taking the listing.

The ultimate responsibility for a mistake in a document prepared by a real estate salesperson rests equally upon the salesperson and the employing broker.

Choose the one most appropriate answer for each. -a requirement for license renewal in many states, its purpose is to help licensees keep up to date in real estate

Typically there is no specific educational requirement for obtaining a salesperson license.

Choose the one most appropriate answer for each. -a person who is licensed to bring about real estate transaction for a fee, but who do so only in the employment of a real estate broker

When a broker fell on hard times, he stopped paying his dues to NAR for two years. He still uses the REALTOR® designation in his advertising and on his business cards. Which of the following is true?

The GRI designation is offered by the state real estate commissions.

A recovery fund is a state-operated fund that can be tapped to pay real estate brokers who have claims against other brokers.

Real estate salespeople may reasonably be expected to work for a salary.

Interpretations of various articles of the REALTORS® Code of Ethics is known as the ____________________ of Practice.

Choose the one most appropriate answer for each. -to recall and make void

A typical broker-salesperson employment contract should include all of the following EXCEPT

The term "REALTOR®" is synonymous with

For a corporation to be granted a license as a real estate broker, all officers must be licensed as real estate brokers.

Any person who earns a real estate commission and is not licensed is guilty of breaking the law.

When the property being sold is an investment contract in real estate rather than real estate itself, the broker may be required to have a securities license in addition to a real estate license.

A state-run program where real estate license fees are used, in part, to pay uncollected judgements against licensees is a

Which of the following is NOT a real estate license category?

Nature and Description of Real Estate

Rights and Interests in Land

Forms of Ownership

Transferring Title

Recordation Abstracts and Title Insurance

Contract Law

Real Estate Sales Contracts

Mortgage and Note

Deed of Trust

Lending Practices

The Loan and the Consumer

Sources of Financing

Types of Financing

Taxes and Assessments

Title Closing and Escrow

Real Estate Leases

Real Estate Appraisal

The Principal-Broker Relationship: Employment

The Principal-Broker Relationship: Agency

Fair Housing, Ada, Equal Credit, and Community Reinvestment

Condominiums, Cooperatives, Puds, and Timeshares

Property Insurance

Land-Use Control

Real Estate and the Economy

Investing in Real Estate

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