BARNEY FLETCHER CRAM FINAL
COMPREHENSIVE QUESTIONS AND CORRECT
ANSWERS
◉ Mr. Smith listed his farm with broker Bob. Although Smith did not
tell him, Bob knew he had to sell due to poor health. What should
Bob tell potential buyers?
A. tell them of the illness only if they ask, but not the need to sell
B. tell them of the need to sell to insure a quick sale
C. do not tell them even though it appears that Smith's death is
imminent
D. in order to sell quickly, tell them that the seller is ill because death
would cancel the listing.
Answer: C. do not tell them even though it appears that Smith's
death is imminent
◉ In a cooperative sale, where the listing broker and the selling
broker represent the seller, the selling broker has which of the
following relationships?
A. agent of the listing broker
B. sub agent of the listing broker
,C. agent of the seller
D. sub agent of the buyer.
Answer: A. agent of the listing broker
◉ A broker had an exclusive right to sell agency listing. In order to
collect the commission, he must:
A. prove he was the procuring agent
B. prove he was licensed at the time of the sale
C. prove he had a ready, willing, and able buyer that met the seller's
terms
D. all of the above.
Answer: B. prove he was licensed at the time of the sale
◉ A broker estimated the property lines by stating it ran between
two trees in the back yard. After closing, the buyer found it was over
six feet off. Is the broker liable?
A. no, he gave an estimate
B. no, the buyer should have gotten a survey
C. yes, he made a statement which he realized could be false
D. yes, the broker should have surveyed the property himself.
Answer: C. yes, he made a statement which he realized could be false
,◉ Smith has an exclusive listing with broker Jones for $220,000.
Jones finds a buyer who wants representation and Jones represents
both Smith and the buyer, verbally disclosing that he is now
representing both as clients. Has Jones violated license law?
A. yes, because this is sub agency
B. yes, because this is undisclosed dual agency
C. no, because he disclosed to all parties that neither had to consent
to dual agency
D. no, because he disclosed to all parties that his actions may be
adverse to either party, however he would not divulge confidential
information.
Answer: B. yes, because this is undisclosed dual agency
◉ A buyer and seller sign an agreement to change the contract to
close on May 1 instead of May 2. This is a(n):
A. addendum
B. special stipulation
C. amendment
D. clause.
Answer: C. amendment
, ◉ When a person, upon payment of a consideration, has an
obligation to buy land at a fixed price within a specified period of
time, his right could be described as:
A. a right of first refusal
B. an option
C. a sales contract
D. either A or B.
Answer: C. a sales contract
◉ Joan has a listing with broker Bob. A week into the listing, Joan
gets a call from broker Jill stating that the listing is now with her. Can
this happen?
A. it's ok as long as it was assignable in the original contract
B. it's ok as long as the brokers have a written contract between
them to transfer
C. never due to the statute of frauds
D. it cannot be assigned because a listing contract is a personal
services contract.
Answer: D. it cannot be assigned because a listing contract is a
personal services contract
COMPREHENSIVE QUESTIONS AND CORRECT
ANSWERS
◉ Mr. Smith listed his farm with broker Bob. Although Smith did not
tell him, Bob knew he had to sell due to poor health. What should
Bob tell potential buyers?
A. tell them of the illness only if they ask, but not the need to sell
B. tell them of the need to sell to insure a quick sale
C. do not tell them even though it appears that Smith's death is
imminent
D. in order to sell quickly, tell them that the seller is ill because death
would cancel the listing.
Answer: C. do not tell them even though it appears that Smith's
death is imminent
◉ In a cooperative sale, where the listing broker and the selling
broker represent the seller, the selling broker has which of the
following relationships?
A. agent of the listing broker
B. sub agent of the listing broker
,C. agent of the seller
D. sub agent of the buyer.
Answer: A. agent of the listing broker
◉ A broker had an exclusive right to sell agency listing. In order to
collect the commission, he must:
A. prove he was the procuring agent
B. prove he was licensed at the time of the sale
C. prove he had a ready, willing, and able buyer that met the seller's
terms
D. all of the above.
Answer: B. prove he was licensed at the time of the sale
◉ A broker estimated the property lines by stating it ran between
two trees in the back yard. After closing, the buyer found it was over
six feet off. Is the broker liable?
A. no, he gave an estimate
B. no, the buyer should have gotten a survey
C. yes, he made a statement which he realized could be false
D. yes, the broker should have surveyed the property himself.
Answer: C. yes, he made a statement which he realized could be false
,◉ Smith has an exclusive listing with broker Jones for $220,000.
Jones finds a buyer who wants representation and Jones represents
both Smith and the buyer, verbally disclosing that he is now
representing both as clients. Has Jones violated license law?
A. yes, because this is sub agency
B. yes, because this is undisclosed dual agency
C. no, because he disclosed to all parties that neither had to consent
to dual agency
D. no, because he disclosed to all parties that his actions may be
adverse to either party, however he would not divulge confidential
information.
Answer: B. yes, because this is undisclosed dual agency
◉ A buyer and seller sign an agreement to change the contract to
close on May 1 instead of May 2. This is a(n):
A. addendum
B. special stipulation
C. amendment
D. clause.
Answer: C. amendment
, ◉ When a person, upon payment of a consideration, has an
obligation to buy land at a fixed price within a specified period of
time, his right could be described as:
A. a right of first refusal
B. an option
C. a sales contract
D. either A or B.
Answer: C. a sales contract
◉ Joan has a listing with broker Bob. A week into the listing, Joan
gets a call from broker Jill stating that the listing is now with her. Can
this happen?
A. it's ok as long as it was assignable in the original contract
B. it's ok as long as the brokers have a written contract between
them to transfer
C. never due to the statute of frauds
D. it cannot be assigned because a listing contract is a personal
services contract.
Answer: D. it cannot be assigned because a listing contract is a
personal services contract
