AZ Real Estate Exam Study
Guide – Practice Questions
with Verified Answers With
Rationales. GRADED A+. Latest
2026/2027 Update
A grandparent creates a trust to pay for a grandchild's education. The trust is
operated by an attorney who makes payments directly to the school. Based on
these facts, which of these statements BEST characterizes the relationships
among these parties?
A)
The attorney is the trustor, the grandchild is the beneficiary, and the
grandparent is the trustee.
B)
The grandparent is the trustor, the school is the beneficiary, and the attorney is
the trustee.
C)
The grandparent is the trustor, the grandchild is the beneficiary, the attorney is
the trustee, and the school is the fiduciary.
D)
The grandparent is the trustor, the grandchild is the beneficiary, and the
attorney is the trustee.
,D)
The grandparent is the trustor, the grandchild is the beneficiary, and the
attorney is the trustee.
- Answer✔✔-the grandparent is the trustor, the grandchild is the beneficiary,
and the attorney is the trustee. The grandparent is the owner-trustor, the
grandchild is the beneficiary, and the attorney is the person who manages the
trust—that is, the trustee
If demand remains steady when the supply of a commodity decreases, the
price will
A)
increase
B)
be unaffected.
C)
go in the direction of supply.
D)
decrease.
A)
increase
- Answer✔✔-increase. Under the laws of supply and demand, if supply of a
commodity decreases with demand remaining the same or increasing, prices
go up.
Commercial real estate includes
A)
warehouses.
B)
factories.
,C)
office space, shopping centers, and stores, as well as theaters, hotels, and
parking facilities.
D)
land in industrial districts.
C)
office space, shopping centers, and stores, as well as theaters, hotels, and
parking facilities.
- Answer✔✔-office space, shopping centers, and stores, as well as theaters,
hotels, and parking facilities. Warehouses, factories, and land in industrial
districts are considered industrial properties.
The idea that no two parcels of land are exactly alike is called
A)
subdivision.
B)
immobility.
C)
location.
D)
uniqueness.
D)
uniqueness.
- Answer✔✔-uniqueness. No matter how identical they may appear, no two
parcels of real estate are ever exactly alike; each occupies its own unique
geographic location.
A real estate professional who performs a visual survey of a property's
structure and prepares a report for a purchaser or an owner is
, A)
an educator.
B)
a home inspector.
C)
a property manager.
D)
an appraiser.
B)
a home inspector.
- Answer✔✔-a home inspector. The home inspector, who prepares an
analytical report of a visual inspection of the property's structure and systems,
is becoming more important in the real estate transaction as more consumers
rely on these reports when buying property.
Local factors affecting the number of properties that are marketed include
A)
building codes.
B)
monetary policy of the Fed.
C)
actions of FHA.
D)
discount rate.
A)
building codes.
Guide – Practice Questions
with Verified Answers With
Rationales. GRADED A+. Latest
2026/2027 Update
A grandparent creates a trust to pay for a grandchild's education. The trust is
operated by an attorney who makes payments directly to the school. Based on
these facts, which of these statements BEST characterizes the relationships
among these parties?
A)
The attorney is the trustor, the grandchild is the beneficiary, and the
grandparent is the trustee.
B)
The grandparent is the trustor, the school is the beneficiary, and the attorney is
the trustee.
C)
The grandparent is the trustor, the grandchild is the beneficiary, the attorney is
the trustee, and the school is the fiduciary.
D)
The grandparent is the trustor, the grandchild is the beneficiary, and the
attorney is the trustee.
,D)
The grandparent is the trustor, the grandchild is the beneficiary, and the
attorney is the trustee.
- Answer✔✔-the grandparent is the trustor, the grandchild is the beneficiary,
and the attorney is the trustee. The grandparent is the owner-trustor, the
grandchild is the beneficiary, and the attorney is the person who manages the
trust—that is, the trustee
If demand remains steady when the supply of a commodity decreases, the
price will
A)
increase
B)
be unaffected.
C)
go in the direction of supply.
D)
decrease.
A)
increase
- Answer✔✔-increase. Under the laws of supply and demand, if supply of a
commodity decreases with demand remaining the same or increasing, prices
go up.
Commercial real estate includes
A)
warehouses.
B)
factories.
,C)
office space, shopping centers, and stores, as well as theaters, hotels, and
parking facilities.
D)
land in industrial districts.
C)
office space, shopping centers, and stores, as well as theaters, hotels, and
parking facilities.
- Answer✔✔-office space, shopping centers, and stores, as well as theaters,
hotels, and parking facilities. Warehouses, factories, and land in industrial
districts are considered industrial properties.
The idea that no two parcels of land are exactly alike is called
A)
subdivision.
B)
immobility.
C)
location.
D)
uniqueness.
D)
uniqueness.
- Answer✔✔-uniqueness. No matter how identical they may appear, no two
parcels of real estate are ever exactly alike; each occupies its own unique
geographic location.
A real estate professional who performs a visual survey of a property's
structure and prepares a report for a purchaser or an owner is
, A)
an educator.
B)
a home inspector.
C)
a property manager.
D)
an appraiser.
B)
a home inspector.
- Answer✔✔-a home inspector. The home inspector, who prepares an
analytical report of a visual inspection of the property's structure and systems,
is becoming more important in the real estate transaction as more consumers
rely on these reports when buying property.
Local factors affecting the number of properties that are marketed include
A)
building codes.
B)
monetary policy of the Fed.
C)
actions of FHA.
D)
discount rate.
A)
building codes.
