California Real Estate Questions And Correct Detailed Answers (Verified Answers) Already Graded A+

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California Real Estate Questions And Correct Detailed Answers (Verified Answers) Already Graded A+

• Which real estate brokerage ownership types may do business under a fictitious

name?

• Sole proprietorships only
• Corporations only
• Partnerships and corporations only
• Sole proprietorships, partnerships, and corporations

Correct Answer: D. Sole proprietorships, partnerships, and corporations

• Adam is an unlicensed assistant working with Sarah, a licensed salesperson. The

following tasks are on their plates. Which of these actions can only Sarah perform?

• Designing a brochure
• Placing a "For Sale" sign in the yard
• Showing the property to prospective buyers
• Scheduling an inspection appointment

Correct Answer: C. Showing the property to prospective buyers

• You've been studying real estate for a while and are a few weeks from taking the

exam and getting your real estate license. Which activities are you able to do?

• Host an open house for a broker
• Negotiate and buy your own property
• Negotiate the sale of a neighbor's property for a fee
• Solicit listings for a broker

Correct Answer: B. Negotiate and buy your own property

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• Which of the following statements best describes a sole proprietor?
• A brokerage owned by a single person
• A brokerage owned by two or more people
• A legal entity separate from its owners
• A brokerage that only deals in commercial real estate

Correct Answer: A. A brokerage owned by a single person

• Which of these parties must obtain a real estate license before performing real

estate activities?

• A person selling their own home
• Persons representing buyers or sellers who will receive compensation for their services
• An attorney acting within the scope of their duties
• A trustee selling property under a deed of trust

Correct Answer: B. Persons representing buyers or sellers who will receive

compensation for their services

• Which real estate brokerage ownership types require a separate license?
• Sole proprietorships only
• Partnerships only
• Corporations only
• All ownership types

Correct Answer: C. Corporations only

• Where can California real estate law be found?
• In the Penal Code
• In the Business and Professions Code
• In the Uniform Commercial Code
• In the Civil Rights Act

Correct Answer: B. In the Business and Professions Code

• What is the California Bureau of Real Estate (CalBRE) responsible for?

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• Setting commission rates
• Regulating the real estate industry
• Settling disputes between buyers and sellers
• Approving mortgage loans

Correct Answer: B. Regulating the real estate industry

• What does the Real Estate Advisory Commission do?
• Enforces real estate laws
• Issues real estate licenses
• Discusses real estate policy and makes recommendations to the Commissioner
• Audits brokerage trust accounts

Correct Answer: C. Discusses real estate policy and makes recommendations to the Commissioner

• How is an individual selected to act as Real Estate Commissioner?
• They are elected by the public
• The individual is appointed by the governor
• They are selected by the state legislature
• They are promoted from within the CalBRE

Correct Answer: B. The individual is appointed by the governor

• Amy acts like a salesperson and is supervised by a broker, but she holds her

broker's license. What is her job title?

• Salesperson
• Associate broker
• Managing broker
• Principal broker

Correct Answer: B. Associate broker

• What are common ownership structures for real estate brokerages?

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• Sole proprietorships, partnerships, and corporations
• Only corporations
• Only sole proprietorships and LLCs
• Non-profits and cooperatives

Correct Answer: A. Sole proprietorships, partnerships, and corporations

• What must be true for a partnership to conduct real estate activities?
• All partners must be licensed brokers
• At least one partner must hold a broker license
• The partnership must be registered as a corporation
• All partners must be licensed salespersons

Correct Answer: B. At least one partner must hold a broker license

• You decide to help negotiate the sale price of a buddy's place even though you

don't yet have a license. After the sale he pays you $50 in appreciation for your efforts.Why would this be considered an illegal activity?

• Because the amount was less than $100
• Because you cannot accept any amount of compensation for negotiating the sale price

of a home that is not your own without a license

• Because you did not have a written contract
• Because you are friends with the seller

Correct Answer: B. Because you cannot accept any amount of compensation for

negotiating the sale price of a home that is not your own without a license.

• How many hours of continuing education must a licensee complete in order to

renew their real estate license?

• 15 hours
• 30 hours
• 45 hours
• 60 hours