Chapter 4 Quiz Flashcards
The amount of commission paid to the broker for selling a property is:
A. Set by state law
B. Negotiated at the time a buyer is found
C. Set forth in the rules of the state Real Estate Commission
D. Stated in the listing contract
D. Stated in the listing contract
The relationship of a real estate broker to the owner of property listed for sale with the broker is that of a:
A. General agent
B. Universal agent
C. Limited agent
D. Special agent
D. Special agent
In an intermediary situation, who is allowed to give advice and opinions?
A. The broker
B. The appointed agent
C. The seller
D. The lender
B. The appointed agent
Fiduciary responsibilities of an agent to his principal include all of the following EXCEPT:
A. Obedience
B. Loyalty
C. Accounting for funds or property received
D. Legal advice
D. Legal advice
The placing of funds belonging to others in a broker’s personal bank account constitutes:
A. Commingling
B. Faithful performance
C. Principal loyalty
D. Reasonable care
A. Commingling
A nonfactual or extravagant statement that a reasonable person would recognize as exaggeration is known as:
A. Interest
B. Fraud
C. Puffing
D. Margin
C. Puffing
In an agency relationship, the _____________ gives the ______________ the authority to act on his/her behalf.
A. Broker/agent
B. Buyer/seller
C. Principal/agent
D. Customer/client
C. Principal/agent
All of the following are ways in which an agency relationship can be terminated EXCEPT:
A. The principal dies.
B. The broker representing the principal dies.
C. Both parties agree to terminate the relationship.
D. The agent extends the expiration date on the listing.
D. The agent extends the expiration date on the
All of the following are common antitrust violations EXCEPT:
A. Price-fixing
B. Boycotting
C. Calling someone on the Do-Not-Call lsit
D. Allocation of customers or markets
C. Calling someone on the Do-Not-Call lsit
