Chapter 15

Question 1

Members of the National Association of Real Estate Brokers are called:

Answer 1

Realtists

Question 2

A real estate brokers license enables a person to handle the sale of:
business opportunities 
  trust deeds 
all of these are correct 
  registered mobile homes

Answer 2

all of these are correct

Question 3

A statement that shows the financial position of a business as of a certain date:

Answer 3

balance sheet

Question 4

A candidate for the real estate broker’s examination must:

Answer 4

have completed 8 college-level real estate courses

Question 5

Commission rates for real estate agents are established by:

Answer 5

negotiations

Question 6

A passing score on the real estate salesperson’s examination is:

Answer 6

70%

Question 7

The Real Estate Commissioner’s Regulations applies to:

Answer 7

all California real estate licensees

Question 8

The fine for an unlicensed person who receives an illegal commission is:

Answer 8

$20,000

Question 9

In California, the majority of the laws that regulate the real estate industry originate from:

Answer 9

legislation passed by the California Legislature

Question 10

The trade name Realtist designates a member of the:

Answer 10

National Association of Real Estate Brokers

Question 11

The Real Estate Commissioner has the right to issue regulations for the interpretation of Real Estate Law. These regulations:
become part of the California Administrative Code
have the same force and effect as Real Estate Law
are issued by the Commissioners office
all are correct

Answer 11

all are correct

Question 12

To sit for the real estate sales examination, an applicant must first pass an approved college level course in:

Answer 12

real estate principles, practice and a real estate elective

Question 13

Under certain conditions a corporation can be licensed as a real estate broker. Which of the following is one of those conditions?

Answer 13

a principal officer of the corporation must be licensed as a broker

Question 14

In order to get a real estate broker’s license, an applicant must fulfill which of the following requirements?

Answer 14

complete 8 statutory courses designated by law

Question 15

The California Association of Realtors is a professional real estate organization. The major purposes of this association include:
all are correct
promotion of high standards among members
fostering of legislation for the benefit and protection of California real estate
safeguarding the real estate-buying public

Answer 15

all are correct

Question 16

The maximum time allowed an applicant to take the salesperson’s examination is:

Answer 16

three hours and 15 minutes

Question 17

If an applicant fails an examination, he or she:

Answer 17

may apply for re-examination immediately after notification of failure

Question 18

Which of the following is correct?

there are no continuing education requirements for the salesperson’s license
all of the above are incorrect
no transcripts or certificates are required to verify course requirements for license renewal
examination prep courses satisfy continuing education requirements for license renewal

Answer 18

all of the above are incorrect

Question 19

Required real estate courses may be taken at which of the following institutions?accredited community colleges
all are correct
some private vocational schools that have acquired formal approval from the Real Estate Commissioner
accredited California universities

Answer 19

all are correct

Question 20

The Real Estate law exempts some people from needing a real estate license. Which of the following are not exempt?

Answer 20

any person who receives compensation for performance of an act defined within the realm of a salesperson’s licensing

Question 21

Which of the following real estate licensees are not required to take continuing education courses?

Answer 21

persons who have been licensed in good standing for a total of 30 continuous years in California and who have attained the age of 70 years or older

Question 22

Once an individual has been licensed by the Department of Real Estate, which of the following is considered a violation of law and/or regulation and may result in suspension or revocation of the license?
 false promise 
  all are correct 
  secret profits 
  commingling of funds

Answer 22

all are correct

Question 23

The primary purpose of the Real Estate Advisory Commission is to:

Answer 23

advise the real estate commissioner on matters important to the real estate industry and the public

Question 24

In a business opportunity sale, the payment for continued patronage is called:

Answer 24

goodwill

Question 25

Which of the following is correct?

Answer 25

a real estate salesperson and a broker may form a partnership to run a real estate brokerage business

Question 26

In addition to the commissioner, the Real Estate Advisory Commission has how many members?

Answer 26

10

Question 27

A salesperson who wishes to become a real estate broker must have which of the following?
equivalent experience
any of the answers are correct
two years full-time experience as a real estate salesperson
a four-year college degree

Answer 27

any of the answers are correct

Question 28

Which of the following is a license issued by the California Real Estate Commissioner?

Answer 28

corporate real estate license

Question 29

After obtaining a real estate salesperson license for the first time, a person renew their license within:

Answer 29

48 months

Question 30

A real estate brokers license is issued for:

Answer 30

4 years