Real Estate Quiz 1

Question 1

A 17-year-old high school student has entered into a contract to purchase an adult’s car. This is
Select one:
a. a voidable contract. 
b. an illegal contract. 
c. an option contract. 
d. a void contract.

Answer 1

Yes Voidable is the key word.

Question 2

The Florida Real Estate Commission may impose an administrative fine
Select one:
a. not to exceed $5,000 
b. not to exceed $1,000 
c. not to exceed $5000 for each count 
d. not to exceed $1000 for each count

Answer 2

$1000.00

Question 3

An Exclusive Right-to-Sell has been signed. What BEST describes the type and status of this contract?
Select one:
a. Unilateral executory 
b. Bilateral executory 
c. Bilateral executed 
d. Unilateral executed

Answer 3

Bilateral: This is a “two-way” contract where each party to the contract promises to do something. A good example of the bilateral contract is a sales contract. The seller promises to sell and the buyer promises to buy.

Question 4

What does the word executory mean?

Answer 4

Executory: is a contract in process. Something remains to be completed such as the issuing of the deed, or a contingency has not been met.

Question 5

What does executed mean?

Answer 5

Executed: is a contract completed. It is finished and all terms have been met and satisfied.

Question 6

When an offeror withdraws an offer before acceptance, this is called
Select one:
a. breach. 
b. revocation. 
c. abandonment. 
d. renunciation.

Answer 6

Revocation

Question 7

The type of window that has hinges on the side and is the most energy efficient is:
Select one:
a. Jalousie. 
b. Sliding. 
c. Double- hung. 
d. Casement.

Answer 7

Casement.

Question 8

All appraisals conducted for federally related transactions require a
Select one:
a. State licensed real estate appraiser
b. State certified real estate appraiser
c. State registered real estate appraiser
d. a and b but not c

Answer 8

a and b but not c

Question 9

A deed in lieu of foreclosure is given to
Select one:
a. the mortgagor by the mortgagee 
b. the mortgagee by the mortgagor 
c. the grantor by the grantee 
d. the grantee by the grantor

Answer 9

the mortgagee (not me) by the mortgage (is me)

Question 10

A broker promises to give a $20,000 bonus to the first sales associate who sells 20 homes. Which type of contract is this?
Select one:
a. Executed contract 
b. Bilateral contract 
c. Unilateral contract 
d. Implied contract

Answer 10

The answer is unilateral contract. A unilateral contract is one that obligates only one party to an agreement without any obligation on the part of the other party involved. The broker is obligated to pay the bonus if the sales associate sells 20 homes; however, the sales associate is not obligated to sell 20 homes.