Arkansas Auctioneer Exam Questions and Detailed Answers 100% Complete Test Absolute auction - Correct AnswerA type of auction where the sale is awarded to the highest bidder. Absolute auctions do not have a reserve price which sets a minimum required bid for the item to be sold. One type of absolute auction relates to foreclosed properties, where the winning bid acquires the foreclosed property. This is opposed to a lender confirmation auction, where the lender must approve the bid in order to complete the transaction. I: An absolute auction can occur in various venues including the foreclosure marketplace, the online marketplace (such as eBay.com) or live auction events. In this type of auction, the highest bidder "wins" the item, whether it is real estate property or any other type of product. Absolute auctions are often implemented where there is an immediate demand to sell an item. The seller or anyone acting on their behalf may not bid.
All auctioneer licenses expire: - Correct AnswerJune 30th
Auction with reserve - Correct AnswerAuctioneer doesn't have to sell the goods for the highest bid if it's lower than the reserve amount.
Auctioneer - Correct AnswerAn auctioneer is any person who offers, negotiates, or attempts to negotiate a listing contract, sale, purchase, or exchange of goods, chattels, merchandise, real or personal property, or of any other commodity which may lawfully be kept or offered for sale by or at public auction, or who sells the same at auction.
Bid Catcher/Ringman - Correct AnswerTakes note of every bid and communicates them to the auctioneer either with hand signals or verbally
Bona Fide - Correct AnswerThe term bona fide meCorrect Answerthat a person or agency is acting in good faith, without dishonesty, fraud, or deceit. In relation to an auction, the term is normally used to refer to a bona fide perchaser.
Bulk Sale - Correct AnswerA bulk sale is any transfer that is in bulk and not in the ordinary course of the transferor's business, or a major part of the materials, supplies, merchandise, or other inventory of any business subject to the Bulk Sale Law.
Buyer's premium - Correct AnswerAn advertised percentage of the high bid or flat fee added to the high bid to determine the total contract price to be paid by the buyer.
Chattels - Correct AnswerChattels are moveable personal property such as furniture, automobiles, and livestock. This excludes real estate.
Commodities - Correct AnswerCommodities may or may not be chattels and include valuable interest in agricultural products, silver, gold, and other products customarily sold or traded in commercial markets.
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Consignee - Correct AnswerThe consignee is a person or agent to whom something, usually goods, is entrusted by others for a purpose. The auctioneer is referred to as the consignee for such goods to be sold at auction. He or she is the person in whose care goods are placed for sale.
Consignor - Correct AnswerThe consignor is the person or entity that consgins goods to an auctioneer. In an auction, the consignor is usually the seller.
Contract - Correct AnswerA voluntary, legally enforceable agreement between two or more people.
Estate Administrator/Administratrix - Correct AnswerThe administrator/administratrix of an estate is the person appointed by the court to oversee the settling of an estate when there is no will or when the person named in a will cannot or will not serve, or when the will names no executor or executrix.
Estate Executor/Executrix - Correct AnswerThe executor/executrix of an estate is the person named in the will to carry out its provisions.
Estates - Correct AnswerThe auctioneer often deals with the sale of both real and personal property in the settlement of an estate. In working with estate auctions, certain terms are important.
Fair Market Value - Correct AnswerThe estimated price that a willing seller will take for goods and a willing buyer will give, if neither buyer nor seller is under any compulsion or undue influence to buy or sell.
Filler words - Correct AnswerSmall sounds or words used to fill in between the bid
Go on the block - Correct AnswerWhen an item goes up for auction, it's said to "go on the block"
Goods - Correct AnswerIncludes chattels, merchandise, personal property, or commodities of any form or type, which may lawfully be kept or offered for sale.
Hammer Price - Correct AnswerThe final, successful bid, officially sealed with a bang of the auctioneer's gavel
How long does a bidder have retract their bid? - Correct AnswerUntil the auctioneer's announcement of completion of the sale. A retraction does not revive any previous bid.
How long must a copy of an auction contract be kept? - Correct Answer3 years after the auction
If the highest bidder doesn't want an item, can it be resold? - Correct AnswerYes, if both buyer and seller agree.
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