* Question Completion Status: QUESTION 1 A real estate license holder can lose his license for failure to make clear, to all parties to a transaction, which party he is acting for receiving compensation from more than one party except with the full knowledge and consent of the other party failure to present the TREC Agency Disclosure Notice form to the appropriate parties in a timely manner as prescribed by TREG rules both A & C QUESTION 2 A license holder who represents a principal in a proposed real estate transaction shall disclose that representation: O in writing at the time of the first contact with another license holder representing the other party O orally or in writing at the time of the first contact with another license holder representing the other party O in writing at least by the time the offer to purchase is presented O all of the above QUESTION 3 TREC may revoke or suspend the license of a broker or sales agent who pursues a continued O flagrant course of advertising that TREC encourages dual agency O flagrant course of advertising that a dual agent can negotiate for either client in a dual agency relationship O course of taking net listings O both A and B QUESTION 4 Which of the following statements is true about net listings? O net listings are discouraged by TREC but are NOT strictly speaking, illegal in Texas O net listings should ONLY be taken when the principal insists and appears to be familiar with current real estate values O TREC discourages net listings because brokers are fiduciaries and net listings have a tendency to place the agent's interests above those of his client with reference to obtaining the BEST possible price O all of the above Click Save and Submit to save and submit. Click Save All Answers to save all answers. SAMSUNGQUESTION 5 The Texas Deceptive Trade Act covers which of the following practices? misrepresenting that goods are new O disparaging the services of competitors concealing property latent defects O all of the above QUESTION 6 The disclosure to an owner, that a license holder is buying real property for his own account, MUST be made by timely by: O disclosure in the contract of sale or orally before being submitted O written disclosure in the sales offer disclosure in writing given prior to entering into any contract of sale O either B or C QUESTION 7 TRELA prohibits a license holder from: O ever using any contract except TREC approved forms O entering into an oral single agency agreement entering into an oral intermediary broker representation agreement O all of the above QUESTION 8 If a license holder is buying brokerage listed property for his own account, the license holder MUST give the seller a true opinion of market value: ONLY if the seller appears NOT to be familiar with current market value O ONLY if the contract was made while acting as a representative of the seller O at all times O ONLY when it appears the seller is familiar with current market value Click Save and Submit to save and submit. Click Sque All Answers to save all answers,QUESTION 9 A real estate broker, acting as an agent for a client in a transaction, has a primary duty to get the transaction closed O help both parties reach a mutually beneficial agreement O treat all parties impartially O represent the interest of his client QUESTION 10 sales agent receive from the sale? A broker recently sold a home for $79,500. The broker charged the seller a 6.5% commission and will pay 30% of that amount to the listing sales agent and 25% to the selling sales agent. What amount of commission will the listing $1,291.87 $1,550.25 $3,617 25 $5, 167 50 QUESTION 11 A seller tells the listing broker that she wants to net $85,000 from the sale of her property If the brokerage fee is 7 5% and the estimate seller's closing costs are 3% of the sales price, at what price should the property be listed? $87.628.87 O $91,375.00 $93,925.00 $94.972.07 QUESTION 12 was the value of the property he sold? A sales agent receives a monthly salary of $1000 plus 3% commission on all of his listings that sell and 2 5%% on all of his sales. None of the listings he took sold last month, but he received $4 175 in salary and commission What $57,727.27 $122,500.00 $127,000.00 $147.000.00 Click Save and Submit to save and submit, Click Save All Answers to save all answers, SAMSUNGQuestion Completion Status: QUESTION 13 A listing broker MUST submit to the seller which of these offers? O an offer submitted through a cooperating broker at $1000 less than an in-house offer O an offer for a price below the amount that the seller said was unacceptable O an offer requiring the seller to pay the buyer broker's commission O all of the above QUESTION 14 What is the relationship of the listing broker's subagent to the seller? O attorney-in-fact O buyer's rep O customer fiduciary QUESTION 15 When selling a home on a single-family zoned lot on filled land with hidden structural damage that is known to the broker, all of the following statements by the broker are likely to lead a claim of misrepresentation EXCEPT the home has a great view O this is a well built home with good foundation O you can build a rental unit in the back there are NO latent defects QUESTION 16 The listing broker has a fiduciary duty to verify all of the following EXCEPT O utility services O structural soundness of the building O amount of property taxes O status of zoning QUESTION 17 Click Save and Submit to save and submit. Click Save All Answers to save all answers. SAMSUNGQUESTION 17 If legal problems arise in a transaction, the broker should: O try to solve them O hire or recommend an attorney for the parties O advise that the attorney for the title company can handle the problems advise the parties to consult an attorney QUESTION 18 The amount of commission due a sales agent by his broker is set by: O Texas law O broker/client negotiations O mutual agreement between broker and sales agent O TRELA QUESTION 19 As an agent for a seller, a broker is allowed to O guarantee a prospective buyer that the seller will accept a certain price O advise a buyer of the quality of title to the property change the terms of the listing contract on behalf of the seller O solicit an offer to purchase the property from a prospective buyer QUESTION 20 A Texas real estate broker may divide a commission with: any attorney O an attorney licensed by the State Bar of Texas O a relative that referred the business who is NOT licensed another licensed real estate broker Click Save and Submit to save and submit. Click Save All Answers to save all answers,Question Completion Status: QUESTION 21 Amount of commission due a broker is determined by: O TREC O TRELA O negotiation with the client Federal Trade Commission QUESTION 22 If a broker and her sales agent have a dispute over the commission split on a sale, the sales agent has the recourse of O complaining to the seller O complaining to the buyer O filing a complaint with the Texas Real Estate Commission O bringing legal action against her broker QUESTION 23 The broker's client is the: O seller O buyer O seller and buyer the party who contracts the broker's services QUESTION 24 The law that applies to the responsibilities and obligations of a person who acts for another is called the: O Statute of Frauds REALTOR's Code of Ethics O Law of Agency Texas Property CodeQuestion Completion Status QUESTION 25 A broker, upon discovering a latent defect in a building, should discuss the problem with the seller and inform the seller that the defect MUST be repaired TREC that the defect exists O city building inspector of the defect prospective buyer of the defect QUESTION 26 Before a broker is entitled to claim or sue for a commission from a seller, he MUST meet which of the following requirements? O currently be licensed as a Texas broker O be the procuring cause of the sale O be employed by seller by an enforceable written listing agreement O all of the above QUESTION 27 A sales agent may be guilty of discrimination for NOT showing a home to which of the following prospects? O Hispanic O Black O Anglo O all of the above QUESTION 28 A listing contract that provides for payment of a commission to a broker even though the owner negotiated the sale without the broker's aid is called an O exclusive agency open contract O exclusive right-to-sell buyer exclusive representation agreement submit. Click Save All Answers to save all answX U . A Q Question Completion Status QUESTION 29 If a seller makes a counteroffer to an offer to purchase her land, the prospective purchaser is: bound by the original offer O bound to accept the counteroffer O relieved of the original offer O restricted from making a counteroffer QUESTION 30 A broker who represents a seller under an exclusive right-to-sell listing receives two offers for the property, one from one of his sales agents and one from a cooperating broker The broker should submit the offer from his sales agent first O the offer from the cooperating broker first both offers at the same time for client consideration each offer as received by its priority in time QUESTION 31 broker: A seller has listed her home with a broker for $100,000, and the broker tells a prospective buyer to submit a lower offer because the seller is desperate to sell. The buyer offers $90.000 and the seller accepts it. In this situation the O was unethical, but overlooked since the seller did get to sell her home O has violated his agency relationship with the seller O acted properly to obtain a quick offer on the realty O fulfilled his fiduciary duty to the seller QUESTION 32 A licensed broker who lists and sells his own property to a customer MUST sell at the listed price reduce the sales price by the amount of the standard commission rate notify the Texas Real Estate Commission of the sale notify the customer that he is the owner of the property and a licensed real estate broker QUESTION 33 Click Save and Submit to save and submit. Click Save All Answers to save all answers.QUESTION 33 A broker lists a property for sale at $100,000 with a 5% commission, and he later obtains a verbal offer to purchase the property from a prospective buyer The seller indicates to the broker that the offer would be acceptable if it were submitted in writing. But before it can be put in writing, the buyer backs out and revokes the verbal offer, In this situation, the broker would be entitled to. O a commission of $5,000 O ONLY a partial commission O reimbursement of direct expenses NO commission QUESTION 34 The correct response to a customer/buyer to a question concerning the condition of the home about which the subagent has NO knowledge is O "I don't know, but I am sure that there are NO problems. O "It's a fairly new home. I'm sure everything is still under warranty" "You can see as well as I can that everything is in perfect condition "I DON'T know you can have it inspected." QUESTION 35 A seller may be liable for the acts and representations of all of the following EXCEPT O subagent O listing broker O sales agent of subagent O buyer's broker QUESTION 36 A subagent would have to disclose to the listing broker all of the following facts about the buyer EXCEPT that they buyer has O a daughter who is a real estate attorney an option on two adjoining parcels poor credit history/rating has additional funds available for a larger down payment Click Save and Submit to save and submit. Click Save All Answers to save all answers. SAMSUNGQUESTION 37 A cooperating broker acting in a subagency capacity tells a buyer/customer that the seller is filing shortly for bankruptcy. This disclosure is proper if O it is useful in promoting a quick offer O subagent refrains from disclosing the details any further O it gets the buyer the BEST deal the seller authorizes the release of this information QUESTION 38 All of the following would terminate an agency relationship EXCEPT nonpayment of the commission by the seller O expiration of the time period stated in the listing O death or incapacity of the broker O destruction of the improvements on the property QUESTION 39 A broker hired by the buyer to locate a property MUST comply with all the following EXCEPT the instructions of the buyer O the instructions of the seller the Law of Agency State Licensing Law QUESTION 40 Susie Seller listed her home with Bob Broker. Betty Buyer asks Annie Anxious, a sales agent with Sell Fast Realty, to help her find a home. Annie found out about Susie's home through the local MLS and showed it to Betty. Which is true? O Annie MUST be the subagent of Susie Seller O Sell Fast Realty MUST be an agent of Betty Buyer O Betty Buyer MUST be a client/buyer Sell Fast Realty could reject the MLS offer of subagency and represent Betty Click Save and Submit to save and submit. Chok Save All Answers to save all answers.QUESTION 41 Under current NAR guidelines, when a property is placed in a MLS, it MUST at least establish a/an subagency buyer agency O offer of an agency and compensation O intermediary agency QUESTION 42 Which of the following actions of a broker is most likely to indicate the creation of an agency with the buyer? O showing buyer available properties transmitting buyer's offer to seller O discussing the financial alternatives available O negotiating on buyer's behalf QUESTION 43 An intermediary broker's relationships to the parties in a realty transaction is that of a O listing broker O buyer representative O dual agency O multiple representation agency QUESTION 44 A real estate broker, acting as an agent of the buyer in a transaction, has the primary duty to: O help both parties to reach a mutual beneficial agreement O treat all parties impartially attempt to get full price for seller represent the interests of her client Click Save and Submit to save and submit. Click Save All Answers to save all answers.QUESTION 45 Even though a broker is an agent of the buyer, he is obligated to treat the seller: O fairly impartially O equally O as a fiduciary QUESTION 46 The duties of a fiduciary, acting as an agent for one party in a transaction, demand that the agent: O be faithful and observant to the trust of all parties O be faithful and observant to the trust placed in him O make sure customers are represented O be careful to get a mutually satisfactory transaction concluded QUESTION 47 A broker can accept compensation from both buyer and seller under what conditions? O if total commission amount is reasonable O if both parties consent in writing to meet unexpected broker additional expenses O under NO conditions QUESTION 48 What are some of the legal remedies available in the event a broker acts as an intermediary broker without disclosure or consent? O loss of license O civil law suits O forfeiture of commission O all of the aboveQuestion Completion Status: QUESTION 49 Undisclosed intermediary broker agency is permitted in; interstate commercial transactions O FSBO residential transactions foreclosed property sales O none of the above QUESTION 50 When is the BEST time to disclose to the seller the agency status of the buyer's broken? O after the property is shown leave message with listing broker O first face to face meeting with seller without listing broker present O at the transaction closing QUESTION 51 If a listing broker receives an offer from a buyer's broker in which the buyer's broker's fee is to be paid by the seller, the listing broker should increase the listing fee O present the offer to the seller O cross out the buyer's broker's fee O ignore the offer as illegal QUESTION 52 A buyer representation agreement calls for compensation to be due to the contracted broker whether the buyer finds the property and negotiates the transaction with or without the broker's assistance is which type of agreement? open O exclusive agency O exclusive right-to-represent O subagency QUESTION 53 Click Save and Submit to save and submit. Click Save All Answers to save all answers. SAMSUNGQUESTION 53 A broker CAN'T legally collect commissions from both seller and buyer without O notifying both parties of this fact in writing after the sale has closed having exclusive employment agreements signed by both the seller and buyer prior knowledge and written consent of both parties O prior knowledge and written consent of seller ONLY QUESTION 54 Which of the following is NOT necessary to create an agency relationship? delegation of authority by the principal O acceptance of the authority by the agent O reliance upon the agent by the principal compensation of the agent by the principal QUESTION 55 The broker's legal and ethical obligations under a buyer representation contract is to negotiate: the BEST possible transaction for his client O any transaction he can get buyer agreement O ONLY the listed property price O whatever he can to get the buyer to sign an offer QUESTION 56 Which of the following would be considered an intermediary agency? O broker acting for a buyer and showing seller/customer properties O brokers cooperating with each other O one broker representing both buyer and seller broker paying another broker a referral fee Click Save and Submit to save and submit, Click Save All Answers to save all answers,QUESTION 57 A seller has listed a home for $90,000. A buyer's broker tells a buyer to submit a low offer because of slow sales in the area. The buyer offers $78,000 and the seller accepts it. In this situation the broker has violated his agency relationship with the seller O was unethical, but the seller did get to sell the property O is unauthorized to encourage such bids for the property fulfilled his fiduciary duty to disclose a material fact about the property QUESTION 58 A broker may be hired as an agent by which of the following? O a buyer looking for an apartment building to buy, which the broker will also manage a buyer wanting consultation on a prospective purchase an owner of a business looking for expansion sites O all of the above QUESTION 59 As a special agent for the buyer, a broker is allowed to guarantee the buyer that the seller will accept a certain price O change terms of the sales contract on behalf of the buyer O submit an offer to purchase a property for the buyer O accept an offer from seller and sign the sales contract QUESTION 60 The relationship of a broker to her employing buyer is usually that of a O general agent special agent attorney-in-fact customer Click Save and Submit to save and submit. Click Save All Answers to save all answers. SAMSUNG