PERRY REAL ESTATE MODULE TWO TEST || 100%
DETAILED ANSWERS.
In assessing the buyer's wants and needs, the buyer's agent should inquire about all of the
following EXCEPT: correct answers Criminal history (income, credit, and location in which you
want to live)
True or false: REALTORS, when acting as principals in a real estate transaction, remain
obligated by the duties imposed by the Code of Ethics. correct answers True
________ may create an undisclosed dual agency unintentionally, inadvertently or accidentally.
correct answers Implied agency
A buyer's agent should pre-screen the buyer to determine what areas of town the buyer is
interested in seeing. If the agent does not show the buyer properties in this area, the agent has
breached the duty of ______. correct answers Obedience of lawful instructions
Within what discipline is the study of ethics? correct answers Philosophy (within the discipline
of philosophy, the study of ethics examine right and wrong moral behavior)
The principle of caveat emptor has largely been superseded by what? correct answers Seller
disclosure laws
The concept of ethics was derived from the ___ word "ethos", which means character, habit,
disposition or custom. correct answers Greek
The salesperson received $2,800 commission on her 35 percent share of the total commission of
the sale of the property that sold for $160,000. What was the commission rate? correct answers 5
percent ($2,800 divided by .35= $8,000 is the total commission before the agent split. $8,000
divided by $160,000 = .05% is the commission rate.)
, Some states require agents to provide minimum services on listings. These services include all of
the following except: correct answers Showing the property*
(Assisting in negotiating counteroffers, presenting offers, showing the property, answering
questions)
In real estate, the ______ of the firm is the agent. correct answers Principal broker*
A buyer's agent finds out that her client has bad credit and will not be able to pay the price
offered in a purchase contract. The buyer's agent does not disclose this information to the seller,
who is unrepresented on the sale. The buyer's agent is: correct answers Must treat an
unrepresented seller with honesty and fair dealing*
A buyer makes an offer on 100 East Main Street through her agent, Sara Smith. Ms. Smith finds
out that the roof on the property has leaked several times in the past, but she does not pass this
information on to the buyer. Ms. Smith has breached the duty of correct answers Disclosure
A buyer's agent should ensure that a buyer receives: correct answers ALL the above
(A seller disclosure form, a signed purchase contract, an agency disclosure form)
Socrates is the founder of what? correct answers science of ethics*
If a listing agent begins to speak to a buyer about her finances but does not represent the buyer,
the agent could be creating what? correct answers Undisclosed dual agency*
If a seller has her property listed with a broker and the buyer is unrepresented, the buyer is a
_____ of the broker. correct answers None of these above (client, customer, principal)*
Sue Simms is a buy's agent. She shows the property located at 500 Main Street to her buyer-
client, Sandy Smith. During the showing, Sue realizes that she would like to make an offer on the
property. Sandy wanted make an offer on the property. If Sue makes an offer while representing
Sandy, she could be in violation of which fiduciary duty? correct answers Loyalty
DETAILED ANSWERS.
In assessing the buyer's wants and needs, the buyer's agent should inquire about all of the
following EXCEPT: correct answers Criminal history (income, credit, and location in which you
want to live)
True or false: REALTORS, when acting as principals in a real estate transaction, remain
obligated by the duties imposed by the Code of Ethics. correct answers True
________ may create an undisclosed dual agency unintentionally, inadvertently or accidentally.
correct answers Implied agency
A buyer's agent should pre-screen the buyer to determine what areas of town the buyer is
interested in seeing. If the agent does not show the buyer properties in this area, the agent has
breached the duty of ______. correct answers Obedience of lawful instructions
Within what discipline is the study of ethics? correct answers Philosophy (within the discipline
of philosophy, the study of ethics examine right and wrong moral behavior)
The principle of caveat emptor has largely been superseded by what? correct answers Seller
disclosure laws
The concept of ethics was derived from the ___ word "ethos", which means character, habit,
disposition or custom. correct answers Greek
The salesperson received $2,800 commission on her 35 percent share of the total commission of
the sale of the property that sold for $160,000. What was the commission rate? correct answers 5
percent ($2,800 divided by .35= $8,000 is the total commission before the agent split. $8,000
divided by $160,000 = .05% is the commission rate.)
, Some states require agents to provide minimum services on listings. These services include all of
the following except: correct answers Showing the property*
(Assisting in negotiating counteroffers, presenting offers, showing the property, answering
questions)
In real estate, the ______ of the firm is the agent. correct answers Principal broker*
A buyer's agent finds out that her client has bad credit and will not be able to pay the price
offered in a purchase contract. The buyer's agent does not disclose this information to the seller,
who is unrepresented on the sale. The buyer's agent is: correct answers Must treat an
unrepresented seller with honesty and fair dealing*
A buyer makes an offer on 100 East Main Street through her agent, Sara Smith. Ms. Smith finds
out that the roof on the property has leaked several times in the past, but she does not pass this
information on to the buyer. Ms. Smith has breached the duty of correct answers Disclosure
A buyer's agent should ensure that a buyer receives: correct answers ALL the above
(A seller disclosure form, a signed purchase contract, an agency disclosure form)
Socrates is the founder of what? correct answers science of ethics*
If a listing agent begins to speak to a buyer about her finances but does not represent the buyer,
the agent could be creating what? correct answers Undisclosed dual agency*
If a seller has her property listed with a broker and the buyer is unrepresented, the buyer is a
_____ of the broker. correct answers None of these above (client, customer, principal)*
Sue Simms is a buy's agent. She shows the property located at 500 Main Street to her buyer-
client, Sandy Smith. During the showing, Sue realizes that she would like to make an offer on the
property. Sandy wanted make an offer on the property. If Sue makes an offer while representing
Sandy, she could be in violation of which fiduciary duty? correct answers Loyalty
