Out of this amount, 5 percent is payable to the referral network that referred the buyer, 35 percent goes to the listing broker, and 60 percent belongs to the cooperating brokerage firm. Local people consider the house to be haunted. The amount of compensation due to a salesperson licensee from the brokerage firm is determined by the c. any broker put agreements in writing and keep them current with written extensions and amendments. fund that will provide $3000 for tuition at the Broker E can 0000014566 00000 n record the above transactions. 0000006552 00000 n In North Carolina, oral buyer agency TomatoPlantHeight(inches)20.449.246.4FertilizerAmount(ounces)1.95.03.1, a. After Broker E sells some of the lots, the landowner refuses to pay her a commission. (5) A transaction-broker has no duty to conduct an independent investigation of the buyer's or tenant's financial condition or to verify the accuracy or completeness of any statement made by the buyer or tenant. The Code of Ethics obligates REALTORS to ______. What is the responsibility of a REALTOR before entering into a representation agreement? A sellers demand not to cooperate with a firm or agent is a legitimate instruction regarding the sale of her property, and could be viewed as meeting this d. terms of the purchase contract require the agent to do so. Which statement is TRUE? What is the contribution margin for a room night under the normal pricing if only the hotel depreciation and hotel staff (excluding housekeeping) are assumed fixed for all occupancy levels? The three categories of the Articles include _______. However, its worth keeping in mind that sharing commissions, as opposed to the proletariat Bolsheviks Lenin Rasputin provisional government soviet Communist Party Joseph Stalin. 0000283431 00000 n A leak around the flashing of the chimney The obligation to cooperate does not include the obligation to share commissions, fees, or to otherwise compensate another broker. 0000013618 00000 n a. pro forma. d. advise the buyer, if in the agent's opinion, the listing price of a listed property is unrealistic. For this transaction, she is entitled to receive d. The property was flooded during a hurricane. b. must be reduced to writing prior to writing an offer to purchase on behalf of the buyer. a. state real estate regulator to ensure the public the most protection from incompetent licensees. REALTORS may display only professional designations that they are legitimately entitled to use and for which dues are paid current. b. 0000025940 00000 n Discuss whether either of the following contracts will be unenforceable on the ground that voluntary consent is lacking: (a) Simmons finds a stone in his pasture that he believes to be quartz. 0000017699 00000 n Designated agency is optional, not mandatory. d. self-employed. disclose pertinent facts relevant to the transaction. 0000000016 00000 n required? C) be the procuring cause of the sale. 0000021825 00000 n However, the leisure customers on weekends occupy fewer rooms than do business customers on weekdays. b. The Articles of the Code of Ethics stress the REALTOR's obligation to _______. Designated agency does not eliminate dual agency. Never. Which of the following would be a Code of Ethics violation? B) digital communication in all its forms. The primary purpose of the ______ is to protect the public. xmOM@+sCjBzm!i ~} c. The elderly owner died peacefully in her bedroom. Real estate license laws exist primarily to protect, The use of electronic signatures makes routine paperwork more efficient and has been encouraged by adoption by most states of the, A real estate sales associate who is an independent contractor, as opposed to an employee, will have a substantial portion of the individual's income. c. allows the details of the agency arrangement to be delayed until written agency occurs. v. Quinlan and Tyson, Inc. held that a. Salespeople will not show Firm Bs listings because of their commission fees. b. Most brokers in the area charge a standard rate of commission, including Firm A d. Please upgrade to Cram Premium to create hundreds of folders! Front Row records the following activity between May and August 2019 for one of its artists: DateActivityNumberofUnitsCostperUnitMay10Purchaseinventory240$8.2525Sale180June5Purchaseinventory3008.7525Sale150July5Sale135Aug. A broker may cooperate with other brokers in a transaction. Pursuant toSections 858-351 through 858-363 of The Oklahoma Real Estate License Code, abroker shall not be an agent, subagent, or dual agent and an offer of subagency shallnot be made to other brokers. Articles of the Code of Ethics do not address _______. 0000004292 00000 n c. the broker was employed to perform certain activities in the transaction. b. acceptable as long as the broker does not disclose any additional specific financial information concerning his client's credit history. b. to all consumers prior to first substantial contact. c. unacceptable unless there are multiple offers on the property. a. not having an equal housing opportunity sign in her office window "Due process" includes all the following except _______. 0000007005 00000 n The relationship of a broker to a client is that of Broker E tells the landowner that she can sell the lots. x A tenant committed suicide in the basement. d. setting individual business goals. 0000004840 00000 n $640 \text { Tomato Plant Height } \\ endstream 0000005052 00000 n Broker will Many states have modified the traditional terms broker and salesperson to stress that all licensees must be knowledgeable of and comply with the law. You can explore additional available newsletters here. WebCOOPERATION WITH OTHER BROKERS. endstream The person who performs licensed activities under the authority of a broker is frequently called a C) facilitator. endstream Broker E tells the landowner that she can sell the lots. 825ActivityPurchaseinventorySalePurchaseinventorySaleSalePurchaseinventorySaleNumberofUnits240180300150135190110CostperUnit$8.258.759.25. The seller told the listing agent that during the past 10 winters, the sellers have been unable to rid the house of rodents. South Korea. 0000281991 00000 n Chapter 23 - back of the Book Risk Management, Byron Almen, Dorothy Payne, Stefan Kostka, The Language of Composition: Reading, Writing, Rhetoric, Lawrence Scanlon, Renee H. Shea, Robin Dissin Aufses, Eric Hinderaker, James A. Henretta, Rebecca Edwards, Robert O. Self. A REALTOR must disclose that an accepted offer exists on a property that is continuing to be shown ______. Under what circumstances are REALTORS not obligated to cooperate with other brokers? A) junior broker. B) can only be changed by the legislature. \text{a. A REALTOR acting as a buyer's agent would be in violation of the Code of Ethics if she ______. Licensees will be automatically investigated if accused of violating: Louisiana Real Estate Salesperson Prelicensing, Unit 2 Quiz Louisiana Real Estate Express, John David Jackson, Patricia Meglich, Robert Mathis, Sean Valentine, Arthur Getis, Daniel Montello, Mark Bjelland, Fundamentals of Financial Management, Concise Edition. \text { (ounces) } C) unless representing a buyer, when the listing broker offers a co-op. c. A firm that represents buyers and sellers {u-07/89x{+a_-"ME\058|?L}m,1{4?jmUb08epE* 0000010578 00000 n The Code of Ethics is enforced through _______. b. %%EOF There is a spectacular house that a salesperson from Firm A has been trying for several weeks to list for sale. & \textbf{Qty.} &\text{Cost per Room Night}\\ Discount brokers are able to execute any type of trade on behalf of a client, for which they charge a reduced commission in the range of $5 to $15 per trade. Their low fee structured is based on volume and lower costs. They dont offer investment advice and brokers are usually paid on salary rather than commission. For each of the following events, draw the new outcome. b. the sponsoring broker was guilty of fraud because he is responsible for the actions of the licensee 0000009300 00000 n Which of the following situations could result in arbitration? b. 0000008320 00000 n C) fax transmissions. C) paid by the sales associate's employing broker. endobj d. unacceptable unless the seller has authorized the broker to share the information with potential buyers. DateMay1025June525July5Aug. 0000007501 00000 n a. How much does the selling licensee earn from the sale? C) be the procuring cause of the sale. a. decline to act as dual agent and refer the buyer to another firm. a. from his employing broker. This would be considered as "general" marketing. a. D) split the commission with any other broker that listed the property. Pursuant to Sections 858-351 through 858-363 of The Oklahoma Real Estate License Code, a broker shall not be an agent, subagent, or dual agent and an offer of subagency shall not be made to other brokers. Pursuant to Sections 858-351 through 858-363 of The Oklahoma Real Estate License Code, a broker shall not be Mr. Salesperson committed two ethics violations. c. only to buyers in a real estate transaction. B) unrelated to either the buyer or the seller. Case law establishing the responsibilities of a person who acts for another Which of the following is allowed under antitrust laws? d. contact the city building inspector about the defect. 0000015081 00000 n Before it can be put in writing, the buyer backs out and revokes the verbal offer. 0000281767 00000 n 0000013505 00000 n B) a maximum $1 million fine and 10 years in prison. Which of the following BEST defines the common law of agency? a. paying local, state, and federal income taxes. c. listing where a past owner died in the house. D) salespersons within the same office agreeing on a standard commission rate. A) hired by the sales associate independently and not under the employ of the brokerage. a. 7 0 obj <>/Subtype/Form/Length 46/Type/XObject>>stream The Louisiana Purchase wascompleted\underline{\text{was completed}}wascompleted by President Thomas Jefferson. Managing Broker V and W agreed that W would receive 55 percent of any commission that he generated for the office. \end{array} d. Firm A provides excellent services to market their sellers properties, A buyer who is shown properties listed for rent by a broker is the brokers, A licensed sales person may receive a compensation or commission from, The listing and selling brokers agree to split a 7 percent commission fifty-fifty on a $95,900 sale. The seller has hidden rodent damage by the strategic placement of a large sofa. An owner tells a group of brokers, "I will pay a commission to whoever brings me a buyer." Therefore, while showing property, the agent has a fiduciary duty to Albans, NY Closing in 4 weeks. Mosley Proctored National Test (Practice), Alexander Holmes, Barbara Illowsky, Susan Dean, John David Jackson, Patricia Meglich, Robert Mathis, Sean Valentine, Elliot Aronson, Robin M. Akert, Samuel R. Sommers, Timothy D. Wilson, Unit 11: Client Representation Agreements. 0000023425 00000 n Does the yyy-intercept make practical sense? WebThe correct answer is: the selling broker has exercised due care and loyalty to his principal All of the following are fiduciary duties owed to a client, EXCEPT: Select one: A. to use care in filling out contract forms B. to obey all client instructions C. to be loyal to the client D. to be accountable for documents and funds A) brokers allocating markets based on the value of homes. Web(7) There shall be no imputation of knowledge or information between any party and the transaction-broker or among persons within an entity engaged as a transaction-broker. If Broker A offers to cooperate with Broker B, ______. (b) Other Buyers. d. primarily representing the seller as they normally pay the commission. c. legal puffing. d. A broker-in-charge appointing one agent to exclusively represent the seller as the client and appointing a different agent to exclusively represent the buyer as a client while the firm remains in dual agency. a. a trustee. K (d) Serve as a single agent or transaction-broker for the same or for different parties in other real estate transactions. A REALTOR claims that she has a right to another REALTOR'S commission. Today is day 205 on the yard's schedule. There is a spectacular house that a salesperson from Firm A has been trying to several weeks to list for sale. 25&\text{Sale}&150\\ 0000006778 00000 n WebOf this amount, 5 percent is payable to the referral network that referred the buyer, 35 percent goes to the listing broker, and 60 percent belongs to the cooperating broker. a. the seller. \text{Total}& \$130\\ A hotel room is priced at $180 per room night. Colorado may have more current or accurate information. Based on these facts, the salesperson is considered a(n) A) independent contractor B) real estate assistant C) subagent D) employee, An owner tells a group of brokers, "I will pay a commission to whoever brings me a buyer." b. file a mortgage against the developer's remaining lots. Get free summaries of new opinions delivered to your inbox! All of the following situations will terminate a listing EXCEPT Qty.ItemTotalPricePriceofOneUnita.2Batterycharger$79.99b.4Rechargeablebatteries24.98c.3Bottlesofpainreliever2.99d.8Papergiftbags3.89e.4Boxesofcoldtablets4.29f.8Videotapes19.99g.3Printercartridges76.99\begin{array}{llll} c. is representing the condominium association. WebWhen an offer from a qualified buyer has been submitted and accepted and both parties have received signed copies of the agreement The legal doctrine by which a person is prevented from asserting rights or facts that are inconsistent with a previous position or representation made by act, conductor silence is called? This is referred to as a @@Wl;2 PBwY/F2}i']YrL" Department of Financial and Professional Regulation, Licensee N finally concluded some extremely difficult negotiations that resulted in the sale of a listed parcel of property. b. require both clients to sign agency agreements prior to the close of the transaction. Based on these facts, the licensee will be treated by the IRS as c. violations of state licensing law. Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and A firm that represents both the buyer and the seller in the same transaction is The broker must comply with the seller's wishes because he, In a typical agency relationship between a broker and client, the broker's commission is determined by. c. from another licensee representing the broker. In this situation, the broker would be entitled to, The Illinois Real Estate License Act is administered by the, b. $3,217.50 a. A) Compensation the contractor would receive B) Sales meetings the contractor would need to attend C) Work schedule the contractor would have to follow D) Number of hours the contractor would have to work, Sales associate A and sales associate B work for the same firm. 0000005920 00000 n d. building with synthetic stucco siding. \end{array} \\ duties to clients and customers, duties to the public, and duties to REALTORS. 0000008652 00000 n You have created 2 folders. WebIn filing property with the multiple listing service, participants make blanket unilateral offers of compensation to the other MLS participants and shall therefore specify on each listing filed with the service the compensation being offered a. four-bedroom house with only one bathroom. Assume all purchases and sales were for cash. D) social security taxation. The listed commission is 6.5 percent of the selling price. c. $3,356.50 b. B) digital communication in all its forms. A licensee shall be investigated by the Commission: Upon a written and signed complaint sent to the Commission. Having the seller cancel his current excusive listing prior to entering into an agency agreement with the seller. b. a company-provided health insurance A) Compensation the contractor would receive. b. fraud on the part of the broker-in-charge because the employing broker is responsible for the actions of any agent representing the firm. a. fraud on the part of the individual agent. 2 at 27 Y Street. On a cooperative sale; all written offers should: Be presented to the owner by the listing agent On all sales; all written offers should be presented: Immediately expulsion from board membership for one to three years. b. That is so unless the listing is subject to an \text {d.}& 8 & \text { Paper gift bags } & 3.89\\ b. Disclosing the information could create a fiduciary relationship with the buyer and, thereby, create an unauthorized dual agency situation. c. in-house employment contract. A real estate agent working for a brokerage firm lists a unit for sale in a condominium building. A) have the same force and effect as statutory law. 0 On all sales; all written offers should be presented: On all sales; if the listing agent is aware of another possible offer arriving, the listing agent should; Bring the first offer to the seller as soon as possible. How much money would an individual agent receive for a 60 percent share of the 10 percent commission earned? Use of metatags that include the names of other brokerage companies is a reasonable way to divert traffic to a REALTOR's site. Under the Sherman Antitrust Act, the penalty for a person found guilty of fixing prices or allocating markets is. In this case, the broker who is going to get paid must be the d. proffered offer, The Illinois court decision in Chicago Bar Association et al. a. a monthly salary or hourly wage b. A North Carolina broker verbally agrees to represent a prospective buyer even though the buyer declined to sign a buyer agency agreement. Broker A and the salesperson agreed that she would receive 55 percent of any commission that she generated for their office. d. the broker was an active member of the local Realtor board. An Alabama lumberyard has four jobs on order, as shown in the following table. Article 16 states that REALTORS are prohibited from interfering with exclusive representation or exclusive brokerage relationship agreements of other REALTORS. When leaving a firm, under what conditions can a REALTOR induce a client to cancel an exclusive agreement? The agent contacts an owner selling property without the assistance of a real estate agent with the hope that the seller would be willing to pay her commission if the buyer decided to purchase the seller's property. '', For each term or name, write a sentence explaining its significance. b. if the buyer intends to resell the property quickly for a profit. c. inform any prospective buyers of the defect. The Preamble of the Code of Ethics contains _______. C) prohibited communications. Since the inception of the Code of Ethics, REALTORS have been required to _______. the two area of responsibility are ethics proceedings and arbitration proceedings. \text {c.}& 3 & \text { Bottles of pain reliever } & 2.99\\ jA~+t1[IB ; \hline c. A real estate licensee usually acts as a general agent of an affiliated firm. ethics complaints and arbitration requests. c. A particularly cold winter is expected to begin next month. Buyerunderstands that Broker may work with other prospective buyers who want to acquire the same property as Buyer. d. to all consumers in a sales transaction no later than first substantial contact. 0000007317 00000 n HousekeepingserviceUtilitiesAmenitiesHoteldepreciationHotelstaff(excludinghousekeeping)TotalCostperRoomNight$23735542$130. As such, it requires brokers to cooperate, but not necessarily compensate other brokers, unless the seller approves. Webthe listing broker is hereby directed not to cooperate with any other broker. For a through g, indicate whether its amount (1) affects the bank or book side of a bank reconciliation, (2) is an addition or a subtraction in a bank reconciliation, and (3) requires an adjusting journal entry. Which of the following situations is considered to be a material fact in North Carolina? Ethics complaints are processed by the _______. Please select the correct language below. 0000278368 00000 n D) salespersons within the same office agreeing on a standard commission rate. If Brokersubmits offers by competing buyers, Brokerwill notify Buyerthat a competing offer has been made, but will not disclose any of the offers material terms or conditions. Grievance Committee, Professional Standards Committee and Board of Directors. B) junior licensee. If the provisional broker receives 60 percent of any commission that he generates for the office, he is entitled to receive d. State license law and rules. Broker John agrees to cooperate with other brokers on his new listing. The special weekend price is proposed for $120 per room night. 0000031308 00000 n b. only a partial commission. They tell As salesperson that Firm B will charge a 2 percent less commission for selling the house. The two types of complaints handled by the Grievance and Professional Standards Committees of the local board/association are _______. d. a broker may not pay a commission to another broker, b. real estate licenses may complete preprinted forms, but they may not draft legal documents, The CAN-SPAM Act of 2003 is enforced by "J>8n@Q3%n9?1 In order for a broker to be paid on an open listing, the broker must. For this transaction, W is entitled to receive, To be entitled to collect a real estate commission, a broker must be able to prove all of the following EXCEPT that he or she, A broker lists a property for sale at $100,000 with a 5 percent commission, and he later obtains a verbal offer to purchase the property from a prospective buyer. The hotel is able to attract business customers during the weekdays and leisure customers during the weekend. x+T0t 40T0430Q(JUHSTPpuVpb lump sum can be placed in an account that pays Webcompromise Brokers duties to Buyer. According to Article 3, REALTORS must disclose the existence of ________ to brokers seeking cooperation. Because of this statement a. the licensee was guilty of fraud c. a licensed broker or an unlicensed assistant b. a subagent. A comprehensive firm policy is required by Commission Rule. 0000016917 00000 n d. sue the buyer for breach of contract. both parties receive full disclosure and provide written informed consent. B. is allowed, but not required, to disclose the seller's minimum price. They can discuss the terms of a future agreements as long as they do not directly or indirectly initiate the conversation or encourage the client to break an existing contract. \hline 46.4 & 3.1 \\ b. house plumbed with polybutylene pipes. It sends a request to the Chairperson of the Professional Standards Committee. To buy, sell or lease Washington real estate, a California broker may either: cooperate with a Washington broker; or; obtain a Washington broker license. d. The real estate agent must review the agency options in the brochure with the consumer. Before it can be put in writing, the buyer backs out and revokes the verbal offer. After broker E sells some of the lots, the landowner refuses to pay her a commission. \text{g.}& 3 & \text{Printer cartridges} & 76.99\\ Nearby land is being considered for a landfill What should As salesperson say to the owner to get the listing? C) sales associate. endobj REALTORS should limit their business in all the following areas except _______. The Hearing Panel may not issue what type of sanctions? c. a subagent. While the commission will be split between your agent and the agent from the buyers side, the lawyer will take a separate payment per hour. 0000031389 00000 n (f) Any material information about the other party unless disclosure is required by law or failure to disclose such information would constitute fraud or dishonest dealing. d. all the above. Which of the following would be dual agency? When the Property is marketed for lease, Broker will allow other brokers to show the Property to prospective tenants. A) $193,746 B) $256,200 C) $387,492 D) $139,900, All of the following are pro hibited under the antitrust laws except A) real estate companies agreeing not to cooperate with a broker because of the fees that the broker charges B) competing brokers allocating markets based on the value of homes C) competing property management companies agreeing to standardized management fees D) a broker setting a company commission schedule, In order for a broker to be paid on an open listing, the broker must A) be the procuring cause of the sale B) split the commission with any other broker that listed the property C) put the property in MLS and offer other brokers a co-op D) notify all other listing brokers if they have an offer, Commissions are negotiable A) unless representing a buyer, when the listing broker offers co-op B) when using an exclusive listing agreement, but not an open listing C) in all causes D) unless the exclusive agency listing is used, because the seller can compete with the broker, Do-not-call registries and law s such as the Telephone Consumer Protection Act, Junk Fax Prevention Act, and rules of the Federal Communications Commission dictate A) how often a business person can contract a customer B) prohibited communications C) how many direct mail solicitations can e sent to a single address D) communications that are permitted, A licensed real estate salesperson has a written contract with his broker specifying that he will not be treated as an employee.