Section 4 - Chapter 5

Question 1

brokerage:

Answer 1

business of bringing parties together; may be sole proprietor, llc, etc

Question 2

sponsoring broker

Answer 2

the entity holding the company real estate license

Question 3

managing broker

Answer 3

person responsibel for all real esate activities of sponsored licensees

Question 4

independent contrtactor

Answer 4

works on their own

Question 5

employee

Answer 5

works for the company

Question 6

policy and procedures manual:

Answer 6

can help as a risk management tool

Question 7

errors and omission insurance

Answer 7

is required

Question 8

fiduciary standard:

Answer 8

legal standard that holds licensee to highest ethical and moral standards that law provides

Question 9

cooperative commission

Answer 9

sponsoring broker pays “cooperating” broker

Question 10

procuring cause:

Answer 10

the starting of the chain of events leading to a sale

Question 11

ready, willing, able buyer is:

Answer 11

one who is prepared to buy on the seller’s terms and ready to take positive steps in consummation of buying

Question 12

price fixing

Answer 12

setting prices instead of letting market adjust them

Question 13

group boycotting:

Answer 13

a group of businesses conspire against another

Question 14

allocation of markets:

Answer 14

real estate companies agree to divide the area for themselves

Question 15

tie-in agreements

Answer 15

buy one produce only if buy another