Question 1

A broker who intentionally misleads a prospect by making an incorrect statement known to be not true is guilty of ____________________.

Accepted Answer

The answer of A broker who intentionally misleads a prospect...

Question 2

Choose the one most appropriate answer for each.
-two or more listing brokers agreeing to charge a 7% commission

Accepted Answer

A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency 
A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency

Question 3

Choose the one most appropriate answer for each.
-persons who are not parties to a contract but may be affected by it

Accepted Answer

A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency 
A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency

Question 4

Brokers have fiduciary responsibilities to third parties with whom they deal.

Accepted Answer

A) True 
 B)False

Question 5

Choose the one most appropriate answer for each.
-a licensed salesperson or broker who works for a broker

Accepted Answer

A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency 
A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency

Question 6

When a broker takes a listing, he is acting under what kind of agency?

Accepted Answer

A)  General 
B)  Special 
C)  Ostensible 
D)  Implied 
A)  General 
B)  Special 
C)  Ostensible 
D)  Implied

Question 7

The relationship of a sales associate to the employing broker is that of a ____________________ agent.

Accepted Answer

The answer of The relationship of a sales associate to...

Question 8

Choose the one most appropriate answer for each.
-a person who authorizes another to act

Accepted Answer

A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency 
A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency

Question 9

A couple makes an appointment with a broker to look at homes. He has not met them previously. They decide to make an offer on one of his listings and they all return to the real estate office to write up the offer. The broker should

Accepted Answer

A)  keep quiet and hope it is a good offer. 
B)  tell the buyer about the dual agency after writing the offer. 
C)  tell the buyer about the dual agency before writing the offer. 
D)  write the offer. 
A)  keep quiet and hope it is a good offer. 
B)  tell the buyer about the dual agency after writing the offer. 
C)  tell the buyer about the dual agency before writing the offer. 
D)  write the offer.

Question 10

If, in showing a property, the salesperson said, "In my opinion, this house is absolutely the greatest in the world," the salesperson

Accepted Answer

A)  could lose his license for fraud. 
B)  is guilty of misrepresentation. 
C)  is puffing. 
D)  is guilty of redlining. 
A)  could lose his license for fraud. 
B)  is guilty of misrepresentation. 
C)  is puffing. 
D)  is guilty of redlining.

Question 11

____________________ agency is the representation of two or more principals in a transaction by the same agent.

Accepted Answer

The answer of ____________________ agency is the representation of two...

Question 12

The listing salesperson was told by a prospective buyer to present an offer of $150,000 with the promise that he would increase it to $152,000 if the seller rejected $150,000. The salesperson must

Accepted Answer

A)  present the offer and disclose the promise to increase the offer. 
B)  keep the confidence of his buyer while presenting the $150,000 offer. 
C)  refuse to present the offer. 
D)  tell her broker of the verbal part of the offer. 
A)  present the offer and disclose the promise to increase the offer. 
B)  keep the confidence of his buyer while presenting the $150,000 offer. 
C)  refuse to present the offer. 
D)  tell her broker of the verbal part of the offer.

Question 13

A broker who intentionally misleads a prospect by making an incorrect statement known to be not true is subject to license ____________________.

Accepted Answer

The answer of A broker who intentionally misleads a prospect...

Question 14

When creating an agency relationship, agency authority

Accepted Answer

A)  expects that to become an agent, one must agree to perform and actually be paid for the performance. 
B)  enables the principal to grant property rights to the agent who may convey them to third parties. 
C)  can be conferred by acts of the principal to another party. 
D)  is limited to a few acts within a single trade or business. 
A)  expects that to become an agent, one must agree to perform and actually be paid for the performance. 
B)  enables the principal to grant property rights to the agent who may convey them to third parties. 
C)  can be conferred by acts of the principal to another party. 
D)  is limited to a few acts within a single trade or business.

Question 15

If a real estate agent used clients' funds for his own personal use, he would be guilty of

Accepted Answer

A)  commingling. 
B)  conversion. 
C)  duress. 
D)  misrepresentation. 
A)  commingling. 
B)  conversion. 
C)  duress. 
D)  misrepresentation.

Question 16

Choose the one most appropriate answer for each.
-government required information that must be given to purchasers in a subdivision

Accepted Answer

A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency 
A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency

Question 17

Choose the one most appropriate answer for each.
-a person who brings two or more parties together but does not assist in conducting negotiations

Accepted Answer

A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency 
A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency

Question 18

The main problem that can arise with a dual agency is the agent may experience a conflict of interest.

Accepted Answer

A) True 
 B)False

Question 19

When a listing is taken, the seller would be referred to as

Accepted Answer

A)  the customer. 
B)  a fiduciary. 
C)  the client. 
D)  the agent. 
A)  the customer. 
B)  a fiduciary. 
C)  the client. 
D)  the agent.

Question 20

Choose the one most appropriate answer for each.
-an agency created for the performance of specific acts only

Accepted Answer

A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency 
A) agent 
B) agency by estoppel 
C) boycotting 
D) buyer's broker 
E) commingling
F)dual agency
G)fiduciary relationship
H)implied authority
I)middleman
J)ostensible authority
K)price fixing
L)principal
M)property report
N)puffing
O)sales associate
P)special agency
Q)subagent
R)third parties
S)trust account
T)universal agency

Exam 20: The Principal-Broker Relationship: Agency

A broker who intentionally misleads a prospect by making an incorrect statement known to be not true is guilty of ____________________.

Choose the one most appropriate answer for each. -two or more listing brokers agreeing to charge a 7% commission

Choose the one most appropriate answer for each. -persons who are not parties to a contract but may be affected by it

Brokers have fiduciary responsibilities to third parties with whom they deal.

Choose the one most appropriate answer for each. -a licensed salesperson or broker who works for a broker

When a broker takes a listing, he is acting under what kind of agency?

The relationship of a sales associate to the employing broker is that of a ____________________ agent.

Choose the one most appropriate answer for each. -a person who authorizes another to act

A couple makes an appointment with a broker to look at homes. He has not met them previously. They decide to make an offer on one of his listings and they all return to the real estate office to write up the offer. The broker should

If, in showing a property, the salesperson said, "In my opinion, this house is absolutely the greatest in the world," the salesperson

____________________ agency is the representation of two or more principals in a transaction by the same agent.

The listing salesperson was told by a prospective buyer to present an offer of $150,000 with the promise that he would increase it to $152,000 if the seller rejected $150,000. The salesperson must

A broker who intentionally misleads a prospect by making an incorrect statement known to be not true is subject to license ____________________.

When creating an agency relationship, agency authority

If a real estate agent used clients' funds for his own personal use, he would be guilty of

Choose the one most appropriate answer for each. -government required information that must be given to purchasers in a subdivision

Choose the one most appropriate answer for each. -a person who brings two or more parties together but does not assist in conducting negotiations

The main problem that can arise with a dual agency is the agent may experience a conflict of interest.

When a listing is taken, the seller would be referred to as

Choose the one most appropriate answer for each. -an agency created for the performance of specific acts only

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

Licensing Laws and Professional Affiliation

The Principal-Broker Relationship: Employment

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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