GA AUCTION UPDATED FINAL EXAMS ALL
QUESTIONS AND ANSWERS SURE A+
✔✔The use of false bidder, by bidders, cappers, or shills to raise the bid may: - ✔✔Lead
to revocation of your license
✔✔Mechanic Lein - ✔✔Applies to autos repairs, attaches to property that labor and
materials went into, and can attach to either real or personal property.
✔✔Real property tax lean - ✔✔Taking precedence over all
✔✔Valid Auction Contract's may: - ✔✔Be a legal agreement between competent parties
✔✔If a buyer's premium is charged at an auction must: - ✔✔Be included in the signed
bidder contract
✔✔As-is means - ✔✔There are no guarantees.
✔✔At an absolute auction, the auctioneer may withdraw property when - ✔✔No bid has
been received within a reasonable time
✔✔An appraisal of personal property is - ✔✔An opinion of value, normally not required
to be made by certified appraiser, and estimates value, documented.
,✔✔When a buyer must sign a sales tax exempt form - ✔✔When buying personal
property for resale, to avoid paying sales tax
✔✔Buyer's premium - ✔✔Additional percentage charged to bidder above their bid
✔✔Any interest accumulated in an auctioneer's escrow account belongs to who? - ✔✔It
is dispersed according to terms of the contract
✔✔Auction advertising must include - ✔✔Name and license of auctioneer
✔✔Authority of the auction commission is limited to - ✔✔Regulate issuance of licenses,
revoke, censure, of suspend licenses
✔✔Sale of the contents of self-contained storage units is exempt from auction law
requirements if - ✔✔Sold by owner or agent of units holding a lein on contents after
default of rent payments
✔✔An auctioneer drawing a personal property estate auction contract must - ✔✔Be
written contract before the sale
✔✔Making substantial misrepresentations from the auction is grounds for revocation of
auction license.
T or F? - ✔✔True
✔✔Failure to maintain an escrow account is grounds for revocation of auction license.
T or F? - ✔✔True
✔✔When you receive your auctioneers license you can conduct auctions anywhere in
Georgia regardless of local restrictions.
T or F? - ✔✔False
✔✔Consignee - ✔✔The person who receives property from somebody else to sell at an
auction
✔✔A Georgia auction license is not required to auction for a non-profit organization
when the organization: - ✔✔Obtains a letter of exemption
✔✔The Georgia Auction Education, Research, and Recovery Fund - ✔✔Must maintain
a minimum balance of 100,000, limits it's liability to 10,000 per claim, charges each new
license $150, revokes the license of any auctioneer causing a claim to be paid from the
fund.
, ✔✔The Georgia Auction Commission is made up of 5 auctioneers and 1 person
associated with auctions.
T or F? - ✔✔True
✔✔A valid contract must include: - ✔✔An offer by one of the parties, an acceptance of
the offer by another party, and consideration
✔✔A corporation can be exempt from licensing by - ✔✔Filing an application of
exemption with Georgia Auction Commission, have a licensed auctioneer supervise
operation, have a licensed auctioneer controls funds in his escrow account.
✔✔Auctioneers are required to deposit funds belonging to others in their escrow
account when: - ✔✔The total sale exceeds $2,000, the sale is settled after 48 hours of
sale
✔✔An auctioneer is responsible for having their name and license including in all
advertising of an auction.
T or F? - ✔✔True
✔✔Auctioneers must issue closing statements and include: - ✔✔Name and address of
seller, price property sold for, date and location of sale, kept on file for 3 years,
inventory of property sold, date seller was paid.
✔✔A sale advertised as an "auction" means - ✔✔Bidder may retract their bid any time
prior to the auctioneering saying sold, and the auctioneer may refuse any and all bids
✔✔A penalty fee of $___ will be imposed for auctioneering without a license - ✔✔$250
✔✔In Georgia, sales tax must be charged on personal property sold to the consumer at:
- ✔✔An estate sale held on site, a public auction holding regular sales, inventory
liquidations
✔✔A sale advertised as "absolute auction" means - ✔✔Each item must be sold to high
bidder, bidder may retract their bid any time prior to the auctioneer saying sold
✔✔At an absolute auction, the only legal way to protect the price of the property is to
have a by-bidder to bid the price up.
T or F? - ✔✔False
✔✔Absolute Auction - ✔✔If you advertise an auction that "everything will be sold to the
bidder regardless of the price."
✔✔Contract - ✔✔Legal agreement between competent parties
QUESTIONS AND ANSWERS SURE A+
✔✔The use of false bidder, by bidders, cappers, or shills to raise the bid may: - ✔✔Lead
to revocation of your license
✔✔Mechanic Lein - ✔✔Applies to autos repairs, attaches to property that labor and
materials went into, and can attach to either real or personal property.
✔✔Real property tax lean - ✔✔Taking precedence over all
✔✔Valid Auction Contract's may: - ✔✔Be a legal agreement between competent parties
✔✔If a buyer's premium is charged at an auction must: - ✔✔Be included in the signed
bidder contract
✔✔As-is means - ✔✔There are no guarantees.
✔✔At an absolute auction, the auctioneer may withdraw property when - ✔✔No bid has
been received within a reasonable time
✔✔An appraisal of personal property is - ✔✔An opinion of value, normally not required
to be made by certified appraiser, and estimates value, documented.
,✔✔When a buyer must sign a sales tax exempt form - ✔✔When buying personal
property for resale, to avoid paying sales tax
✔✔Buyer's premium - ✔✔Additional percentage charged to bidder above their bid
✔✔Any interest accumulated in an auctioneer's escrow account belongs to who? - ✔✔It
is dispersed according to terms of the contract
✔✔Auction advertising must include - ✔✔Name and license of auctioneer
✔✔Authority of the auction commission is limited to - ✔✔Regulate issuance of licenses,
revoke, censure, of suspend licenses
✔✔Sale of the contents of self-contained storage units is exempt from auction law
requirements if - ✔✔Sold by owner or agent of units holding a lein on contents after
default of rent payments
✔✔An auctioneer drawing a personal property estate auction contract must - ✔✔Be
written contract before the sale
✔✔Making substantial misrepresentations from the auction is grounds for revocation of
auction license.
T or F? - ✔✔True
✔✔Failure to maintain an escrow account is grounds for revocation of auction license.
T or F? - ✔✔True
✔✔When you receive your auctioneers license you can conduct auctions anywhere in
Georgia regardless of local restrictions.
T or F? - ✔✔False
✔✔Consignee - ✔✔The person who receives property from somebody else to sell at an
auction
✔✔A Georgia auction license is not required to auction for a non-profit organization
when the organization: - ✔✔Obtains a letter of exemption
✔✔The Georgia Auction Education, Research, and Recovery Fund - ✔✔Must maintain
a minimum balance of 100,000, limits it's liability to 10,000 per claim, charges each new
license $150, revokes the license of any auctioneer causing a claim to be paid from the
fund.
, ✔✔The Georgia Auction Commission is made up of 5 auctioneers and 1 person
associated with auctions.
T or F? - ✔✔True
✔✔A valid contract must include: - ✔✔An offer by one of the parties, an acceptance of
the offer by another party, and consideration
✔✔A corporation can be exempt from licensing by - ✔✔Filing an application of
exemption with Georgia Auction Commission, have a licensed auctioneer supervise
operation, have a licensed auctioneer controls funds in his escrow account.
✔✔Auctioneers are required to deposit funds belonging to others in their escrow
account when: - ✔✔The total sale exceeds $2,000, the sale is settled after 48 hours of
sale
✔✔An auctioneer is responsible for having their name and license including in all
advertising of an auction.
T or F? - ✔✔True
✔✔Auctioneers must issue closing statements and include: - ✔✔Name and address of
seller, price property sold for, date and location of sale, kept on file for 3 years,
inventory of property sold, date seller was paid.
✔✔A sale advertised as an "auction" means - ✔✔Bidder may retract their bid any time
prior to the auctioneering saying sold, and the auctioneer may refuse any and all bids
✔✔A penalty fee of $___ will be imposed for auctioneering without a license - ✔✔$250
✔✔In Georgia, sales tax must be charged on personal property sold to the consumer at:
- ✔✔An estate sale held on site, a public auction holding regular sales, inventory
liquidations
✔✔A sale advertised as "absolute auction" means - ✔✔Each item must be sold to high
bidder, bidder may retract their bid any time prior to the auctioneer saying sold
✔✔At an absolute auction, the only legal way to protect the price of the property is to
have a by-bidder to bid the price up.
T or F? - ✔✔False
✔✔Absolute Auction - ✔✔If you advertise an auction that "everything will be sold to the
bidder regardless of the price."
✔✔Contract - ✔✔Legal agreement between competent parties
