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Question 1
Which department issues the personnel agent license in Michigan?
A) Michigan Department of Labor and Economic Opportunity (LEO)
B) Michigan Department of Licensing and Regulatory Affairs (LARA)
C) Michigan Department of Attorney General
D) U.S. Department of Labor
Correct Answer: B
Explanation: The Michigan Department of Licensing and Regulatory Affairs (LARA),
through its Corporations, Securities & Commercial Licensing Bureau (CSCL), administers
and enforces the laws governing personnel agents under the Michigan Occupational
Code .
Question 2
A "personnel agent" in Michigan is primarily defined as someone who:
A) Provides human resources consulting to businesses
B) For a fee, procures or attempts to procure employment for others
C) Recruits employees exclusively for one company
D) Offers career counseling without job placement
Correct Answer: B
Explanation: The legal definition centers on acting for a fee to secure employment for
applicants. This distinguishes personnel agents from in-house recruiters or free public
employment services .
,Question 3
What is the minimum age to apply for a personnel agent license in Michigan?
A) 16 years old
B) 18 years old
C) 21 years old
D) 25 years old
Correct Answer: B
Explanation: Applicants must be at least 18 years old and demonstrate good moral
character to qualify for licensure .
Question 4
Who administers the Michigan Personnel Agent Exam?
A) NCCPA
B) PSI
C) Prometric
D) ETS
Correct Answer: B
Explanation: PSI is the testing service contracted to administer the Michigan Personnel
Agent examination .
Question 5
Before taking the exam, an applicant must submit:
A) Proof of Michigan residency
B) License application and associated fee
C) College diploma or equivalent
D) Letter of recommendation from an employer
Correct Answer: B
Explanation: The application and associated fee must be submitted and approved
before scheduling the exam with PSI .
,Question 6
A personnel agent's license in Michigan is valid for how long?
A) 1 year
B) 2 years
C) 3 years
D) 5 years
Correct Answer: C
Explanation: Licenses are issued for a 3-year cycle and must be renewed prior to the
expiration date .
Question 7
If a personnel agent's business address changes, the agent must notify LARA within how
many days?
A) 10 days
B) 30 days
C) 60 days
D) By the next renewal period
Correct Answer: B
Explanation: Licensees are required to notify the department of any change of address
within 30 days .
Question 8
Which of the following activities requires a personnel agent license in Michigan?
A) A corporate HR manager recruiting for their own company
B) A nonprofit organization offering free job placement services
C) An individual who charges a fee to help an applicant get a job
D) A school counselor assisting students with job searches
Correct Answer: C
, Explanation: Charging a fee for procuring employment triggers the licensing
requirement. Internal recruiters and free services are typically exempt .
Question 9
The Michigan Occupational Code requires that a personnel agent's license be
prominently displayed:
A) At the agent's home office
B) In the primary place of business where clients can see it
C) In the agent's wallet
D) Filed with the county clerk
Correct Answer: B
Explanation: The license must be conspicuously displayed in the licensee's established
place of business so that it is visible to clients and the public .
Question 10
A personnel agent's bond or cash deposit requirement is primarily intended to:
A) Pay the agent's business taxes
B) Ensure the agent has sufficient operating capital
C) Provide financial protection for clients who suffer damages due to the agent's
violations
D) Cover the cost of the license application
Correct Answer: C
Explanation: The bond provides financial protection for clients who suffer damages due
to the agent's violations of the Michigan Occupational Code .
Question 11
Which activity is specifically prohibited for a personnel agent?
A) Charging an employer a fee for recruitment services