Unit 6 – Timeshares Exam Questions
and Answers
Registration of Timeshares - Correct Answers -- A timeshare offering may not be
advertised, offered, or sold in Montana unless it is registered.
- A person who offers or sells a timeshare interval (unless exempt from registration)
must provide a prospective purchaser with a written public offering statement before the
prospective purchaser signs an agreement for the purchase of a timeshare.
A purchaser may cancel a timeshare purchase agreement within how many days? -
Correct Answers -7 days following receipt of a public offering statement or signing of a
timeshare purchase agreement, whichever is later
Application for registration - Correct Answers -An application for registration of a
timeshare offering must be signed by the developer and accompanied by the
registration fee. A timeshare offering will not be registered unless the developer files a
complete application as determined by the Board.
What must an application to register a timeshare NOT contain? - Correct Answers -The
projected profit margin the complete development will return to the developer
Which of the following is NOT a requirement to obtain a timeshare salesperson's
license? High school graduation or equivalent, at least 18 years old, membership in the
timeshare association of Montana, completion of board-approved timeshare education
course. - Correct Answers -Membership in the timeshare association of Montana
If an individual possesses a Montana real estate salesperson or broker's licensee, can
they legally resell timeshares for individual owners? - Correct Answers -Yes, as long as
they don't sell more than two for the same owner and have a timeshare endorsement on
their real estate license
Applications must contain: - Correct Answers -- Financial statements prepared in
accordance with accepted accounting principles that disclose the current financial
condition of the developer
- A statement disclosing any fees in excess of the stated price per unit to be charged to
the purchasers, including a description of their purpose, and the method of calculation
- Copies of all timeshare instruments
- A copy of the public offering statement
- An irrevocable consent to service of process signed by the developer
- Any information the Board might require
and Answers
Registration of Timeshares - Correct Answers -- A timeshare offering may not be
advertised, offered, or sold in Montana unless it is registered.
- A person who offers or sells a timeshare interval (unless exempt from registration)
must provide a prospective purchaser with a written public offering statement before the
prospective purchaser signs an agreement for the purchase of a timeshare.
A purchaser may cancel a timeshare purchase agreement within how many days? -
Correct Answers -7 days following receipt of a public offering statement or signing of a
timeshare purchase agreement, whichever is later
Application for registration - Correct Answers -An application for registration of a
timeshare offering must be signed by the developer and accompanied by the
registration fee. A timeshare offering will not be registered unless the developer files a
complete application as determined by the Board.
What must an application to register a timeshare NOT contain? - Correct Answers -The
projected profit margin the complete development will return to the developer
Which of the following is NOT a requirement to obtain a timeshare salesperson's
license? High school graduation or equivalent, at least 18 years old, membership in the
timeshare association of Montana, completion of board-approved timeshare education
course. - Correct Answers -Membership in the timeshare association of Montana
If an individual possesses a Montana real estate salesperson or broker's licensee, can
they legally resell timeshares for individual owners? - Correct Answers -Yes, as long as
they don't sell more than two for the same owner and have a timeshare endorsement on
their real estate license
Applications must contain: - Correct Answers -- Financial statements prepared in
accordance with accepted accounting principles that disclose the current financial
condition of the developer
- A statement disclosing any fees in excess of the stated price per unit to be charged to
the purchasers, including a description of their purpose, and the method of calculation
- Copies of all timeshare instruments
- A copy of the public offering statement
- An irrevocable consent to service of process signed by the developer
- Any information the Board might require
