Chapter 6

Question 1

An agent is authorized to act in place of the principal by a

Answer 1

power of attorney. page 134

Question 2

One of the MOST important duties of agent to principal is the duty of

Answer 2

loyalty. page 159

Question 3

The MOST commonly used form of listing agreement is the

Answer 3

exclusive right to sell. page 145

Question 4

A real estate broker works for the

Answer 4

principal. page 131

Question 5

The Real Estate Law treats a salesperson as

Answer 5

an employee of the broker. page 132

Question 6

An agent owes which of the following to a third party?

Answer 6

Duty of disclosure. page 162

Question 7

When an agent represents both the buyer and seller in the same transaction, this action is

Answer 7

known as dual agency. pages 132-133

Question 8

A nonexclusive listing agreement is also known as

Answer 8

an open listing. page 144

Question 9

Real estate commission rates are

Answer 9

negotiable. page 141

Question 10

For tax purposes, a salesperson can work for the broker as

Answer 10

an independent contractor. page 131