1) In a buyer representation agreement, the broker acts as the agent of the buyer and must protect the buyer's interests
a. at all points in the transaction.
b. only during property showings.
c. until the representation agreement is signed.
d. only when negotiating on behalf of the buyer.
2) An owner listed her home for sale with a broker. When the owner sold the home herself, she did not owe anyone a commission. Based on these facts, what type of listing did the broker and the owner most likely sign?
a. Exclusive-right-to-sell listing
b. Net listing
c. Multiple listing
d. Open listing
3) All of this information is generally included in a listing agreement EXCEPT
a. lot size.
b. termination clause.
c. client's specific requirements for a suitable property to buy.
d. property condition disclosures.
6) Who are the parties to a listing agreement?
a. Buyer and seller
b. Seller and broker
c. Seller and salesperson
d. Buyer and salesperson
7) There are five different brokerage signs in the front yard. Evidently, the seller has signed
a. an exclusive-agency listing.
b. an exclusive-right-to-sell listing.
c. a net listing.
d. an open listing.
10) Buyer agents may be compensated in any of these ways EXCEPT
a. flat fee for service.
b. percentage of selling price.
c. hourly rate.
d. percentage of list price.
12) A broker is retiring and wants to submit his listings to another broker. How can he do this?
a. The broker must sign over the listings to the new broker.
b. The new broker has to sign an acceptance agreement.
c. Each sales associate must sign over the listings to the new broker.
d. The sellers must agree to a new listing with the new broker.
13) In which of these types of listing agreements is the broker appointed as the seller's only agent?
a. Exclusive-right-to-sell and exclusive-agency listings
b. Open listing
c. Net listing
d. Option listing
17) A brokerage charged the seller $1,000 as an advertising fee and 4% of the selling price. The house was listed for $439,500 and sold for $429,350. What was the total amount the seller paid the brokerage?
a. $15,174
b. $15,580
c. $16,580
d. None of these
18) A seller agreed to a 5% commission on a sale price of $175,000. The brokerage split with salespeople is 30/70, with 30% remaining with the company. How much is the sales associate's share if the sales associate both lists and sells the property?
a. $2,625
b. $6,125
c. $8,750
d. None of these
20) The commission on the sale of a house was $16,500, which was based on a 7.5% commission rate. What was the final selling price of the house?
a. $127,000
b. $145,000
c. $199,000
d. $220,000
21) The broker listed a home for $360,000 under a 90-day exclusive-right-to-sell listing agreement with a 6% commission. The next week, the broker began advertising the home in a local paper and showed the property to two prospective buyers. Later that week, the seller announced that he had decided to sell his home to a relative for $340,000. The seller is liable to the broker for
a. $1,200.
b. $20,400.
c. $21,600.
d. none of these.
This is for Real Estate Finance