Real Estate Practice Exam 1 - Practice Test Geeks

In order to be a licensee member of the Florida Real Estate Commission, an individual must have been licensed a minimum of

1 year

2 years

4 years

5 years

Correct! Wrong!

Broker Jacqui decides to move her branch office from Fort Walton to Panama City. The proper procedure is for Jacqui to

report the move to the Board of Realtors.

request that the Division transfer the license to the new location.

cancel the existing branch license and submit the request and a new fee for the Panama City branch office

wait until it is time to renew the branch office license.

Correct! Wrong!

Possession of a current and valid license will be considered by a court

to have no effect.

as undeniable proof that the holder of that license may perform the services of real estate.

as sufficient evidence to prove the license status unless stronger evidence to the contrary is introduced.

as certification by the Commission that the license is in good standing.

Correct! Wrong!

A licensee who has passed the broker's state examination, but desires to continue to operate under an owner-employer will be registered as a

broker

sales associate

broker associate

Realtor-Associate

Correct! Wrong!

Licensure may be suspended for what maximum period of time?

1 year

2 years

5 years

10 years

Correct! Wrong!

A sales associate gets a signed contract from a buyer and mails it to the seller. The seller has agreed to the terms and the escrow deposit is safely in the broker's escrow account. The sales associate has a disagreement with his broker and quits. The broker refuses to pay a commission because the sales associate was not in his employ when the contract was actually received and signed. The sales associate should

notify the state.

sue the seller for his share

sue the broker

forget it. He is not entitled to the commission.

Correct! Wrong!

The F.R.E.C. is composed of

four brokers and three lay members.

five brokers and two lay members

three brokers, two brokers or sales associates, and two lay members.

seven members.

Correct! Wrong!

A sales associate chooses not to renew his license at the appropriate time. His license will be

involuntary inactive.

canceled.

voluntary inactive.

suspended.

Correct! Wrong!

The license period is currently

1 year.

2 years.

3 years

4 years.

Correct! Wrong!

A hardware store owner, who is neither a real estate licensee nor a licensed or certified appraiser, was appointed by the court to appraise another hardware store. The person can

be compensated for the appraisal.

not be compensated for the appraisal unless licensed or certified.

apply for a temporary license from the Commission.

appraise any hardware store in the state without a license.

Correct! Wrong!

Which category is exempt from licensing when performing real estate services?

funeral directors

CPAs acting within the scope of their duties

partners receiving more than their pro-rata share of profits for selling services

employees of a corporation who are paid on a transactional basis for selling corporate property

Correct! Wrong!

Broker Larry, Broker Linda, and Broker Susan form a partnership to buy a tract of land and develop and sell the land. Sales Associate Lee joins the partnership and profits will be split equally among the four. Profits for the first year amount to $80,000. Which is correct?

Profits may be divided three ways only. Sales associate Lee cannot be a partner

Profits may be divided four ways

Sales associate Lee may be a partner only if he has broker status

a and c

Correct! Wrong!

Broker Bill has a listing contract to sell Janet's condominium. A prospective buyer offers to pay $60,000, but refuses to give a binder deposit with the contract. Broker Bill should

refuse to submit the offer until accompanied by valuable consideration.

present the offer and suggest that the owner counteroffer for a binder

present the offer only if the buyer promises to pay a binder if accepted.

present the offer only if it is close to the asking price.

Correct! Wrong!

A real estate sales associate is a person who

at times may perform any of the services ordinarily performed by a broker.

may perform some of the services ordinarily performed by a broker.

may not perform any service of real estate for the public for compensation in Florida, unless employed by an owner-employer.

may perform any of the services ordinarily performed by a broker provided that the service is under the supervision of the employing broker.

Correct! Wrong!

Practicing real estate without a license is a

first-degree misdemeanor

second-degree misdemeanor

first-degree felony

third-degree felony

Correct! Wrong!

A buyer gives a sales associate a binder check made out to him. The sales associate should

hold the check in the file until the broker returns and turn it over to him.

endorse the check and deposit it in the broker's business account.

endorse the check and give it to the broker within one business day.

put the check in his personal account, then write his personal check to the broker.

Correct! Wrong!

Seller employed Broker to sell his property in Astoria Park. Broker subsequently negotiated a contract whereby Seller and Buyer agreed to sell and buy the property in Astoria Park. The contract was prepared and typed in Broker's office. As there were numerous conditions and terms that had been agreed upon by Seller and Buyer, the contract was quite long and involved. Since the amount of deposit obtained by Broker from Buyer was equal to what his commission was going to be, in the middle of one of the long paragraphs was the phrase "In the event the buyer defaults, the deposit shall be retained by the broker as his compensation." At the time Broker presented the contract to Seller and Buyer for their signatures, he made no mention of the phrase he inserted in the contract, nor did he recommend that they read the contract. However, he did not in any way try to influence them not to read it. Seller and Buyer signed the contract without reading it. In the area, a 50/50 split of defaulted deposits is customary between sellers and brokers. Buyer subsequently defaulted. Seller asked Broker for 50% of the deposit. Broker refused and showed Seller the phrase he had inserted in the contract. What should Broker do?

Share the deposit 50/50 with Buyer.

Give Seller 50% of the deposit.

Give Seller an amount equal to his expenses and keep the rest.

Observe the terms of the contract and keep the deposit.

Correct! Wrong!

The passage of rules require

the vote of all members of the Commission

the full vote of the Commission and the Governor's signature

the decision of the Chairman

a quorum vote of the Commission

Correct! Wrong!

Which is not correct?

A licensee may be paid a commission only by his employer

A licensee may not work for more than one employer

A real estate licensee may not appraise a single family residence unless she has been licensed as a state licensed or certified appraiser

A licensee has no grace period for renewing a license, and may not operate while the license is expired

Correct! Wrong!

Jane is a broker and accepts a deposit made out to her firm for $3,000. What is her legal requirement?

She must place it in her personal account

She must place it in her business account no later than the end of the next business day

She must place it in her trust account within three business days

She must hold it until acceptance of the offer, then deposit it immediately

Correct! Wrong!