Maine Real Estate Exam Questions and Answers

Fred wants to put an addition on his hunting camp located in an unorganized township in Maine. He must apply to ________ for a building permit - Answer-(LUPC) Land Use Planning Committee An employer is responsible for directing a(n)______________as to both what is to be done and how it is to be done. - Answer-Employee Real estate licensees are almost always___________ ______________with their company;they sign an Independent Contractor Agreement - Answer-Independent Contractors Every real estate brokerage should adopt a ______________ ___________ _________that identifies and describes the types of real estate brokerage relationships in which the broker and affiliated licensees may engage.NOTE: This is a requirement in Maine. - Answer-Written Company Policy License laws and rules apply to ALL licensees within the state, whereas the NAR ______ _____ _____ applies only to those who join the REALTOR® organization. - Answer-Code of Ethics Each market has a system whereby each company can promote its listed properties to other companies who may have a buyer for its properties. The purpose of these_________ __________ ____________is to facilitate the bringing together of sellers and buyers in a market. - Answer-MLS (Multiple Listing Service) If you choose to become affiliated with a broker who is a member of a franchise, you will probably be expected to ____ _____ ____ for that membership that is often in addition to the standard fee brokers in your area charge licensees. - Answer-Pay a Fee A ________ _________ is someone who owns an unincorporated business by himself or herself, and is personally liable for the debts of the business. - Answer-Sole Proprietor The legal structure of a(n) __________provides the limited liability features of a corporation and the tax efficiencies and operational flexibility of a partnership.All profits and losses are "passed through"the business to each member - Answer-LLC (Limited Liability Corporation The legal structure of a(n) __________provides the limited liability features of a corporation and the tax efficiencies and operational flexibility of a partnership.All profits and losses are "passed through"the business to each member - Answer-(LLC) Limited Liability Corporation A_______________is a business entity that is perpetual and survives the lives of any of its shareholders. A Board of Directors manages the business and Officers are responsible for its daily operations.Shareholders who are not involved in the daily operations simply own stock shares are not personally responsible - Answer-Corporation You are the _____________ ___________in a real estate transaction if you are the licensee that started a chain of events that went unbroken, resulting in the closing. NOTE: For example, you are the licensee who brought a buyer to see a property. You assisted this buyer in preparing, presenting and negotiating the offer. You oversaw the process (getting a mortgage, having a home inspection, etc.) until the time of closing. - Answer-Procurring Cause