Chapter 2

Question 1

What are the responsibilities of the managing broker?

Answer 1

exercising the rights of the brokerage, performance of duties of the brokerage (through license).

Also the control and conduct of business, including supervision of its related licensees.

Question 2

The Real Estate Council is made up of __ members.

Answer 2

16

Question 3

What is a brokerage?

Answer 3

A licensee (often corporate) on behalf other licensees must provide real estate services.

Question 4

TF? The Real Estate Errors and Omissions Insurance Corporation receives the interest payable on all brokerage trust accounts held in savings institutions except separate trust accounts maintained for specific clients.

Answer 4

False. The real estate foundation receives interest payable on all brokerage trust accounts held in savings institutions except separate trust accounts maintained for specific clients.

Question 5

TF? Exemptions from licensing under the Real Estate Services Act are located in the Act itself, the Regulations and the Rules

Answer 5

True

Question 6

What is an associate broker?

Answer 6

A licensee who: meets educational/experience requirements to be a managing broker, but is providing services under the supervision of a managing broker.

Question 7

What is a disclosure statement?

Answer 7

A document, prepared by the developer of a development property (according to RE Dev Marketing Act) to ensure that investors get enough info on which to base a purchase decision in BC.

Question 8

As soon as a developer becomes aware of the fact that a ____ ____ does not comply with the REDevMarketing Act or has a misrepresentation, the developer must file and deliver a new or amended ____ ____.

Answer 8

disclosure statement

disclosure statement

Question 9

Name the two broad categories of improper conduct by licensees that are set out in the Real Estate Services Act

Answer 9

Professional misconduct and conduct unbecoming a licensee

Question 10

A ___ account is an account in which money is deposited by one person for the ___ of another. The money is devoted to a particular purpose and ______ be diverted for other purposes.

Answer 10

A trust account is an account …
for the benefit of another.

The money .. cannot be diverted for other purposes