PSI NATIONAL TEST BANK UPDATED
QUESTIONS AND ANSWERS FULL STUDY
SHEET
●● As a licensee is showing a property contiguous to a lake, the licensee
notices that the lake has a large amount of algae. The buyer wishes to
make an offer. What should the licensee do?
Answer: Encourage the buyer to have an authoritative party investigate
the algae growth.
●● All the following are protected classifications except
Answer: Homosexuals
●● As licensees usually work as independent contractors, a broker will
have a contract
for the independent contractor which (for federal purposes) must outline
Answer: Statement that FICA (taxes) are the associates responsibility
●● In a rescission agreement:
Answer: All parties return to original position and earnest money is
refunded
,●● Agent A has been working at Brokerage for 4 years. Agent has listed
and sold many but desires to try industrial office sales. What is the best
course of action for houses Agent A?
Answer: Move license to an industrial/office
company and train under them
●● A seller is listing their $350,000 house. They state their property tax
bill is $1,110 per year. What should the agent do?
Answer: Verify the information with the county
●● A home warranty will typically provide coverage for which of the
following:
Answer: Electrical and plumbing systems
●● The local governments have authority to ensure that properties are
being built properly. Under the authority of police power, the
government can adapt and implement:
Answer: Construction standards
●● A married couple owns a property together as tenancy in entirety.
Which of the following about selling a property as tenancy in entirety is
true?
Answer: Both spouses must sign the conveyance
, ●● What statement is true about asbestos removal
Answer: Encapsulation is the safest tactic
●● An easement is
Answer: The right to use another's land
●● The amount to list a property is best determined by:
Answer: Competitive Market Analysis (CMA)
●● Interest on a security deposit Starts:
Answer: The month the Property Manager receives the security deposit
●● Racial discrimination is allowed:
Answer: NEVER
●● An agent goes door knocking in a subdivision. As part of his
presentation, he makes
mention of the fact that many families with children are moving into the
area and that house prices are rising. He then recommends the owner
should sell because he has a nice quiet subdivision of older, mature
families that are quiet. Is this discrimination
Answer: Yes- he is blockbusting by playing on the fears of consumers of
protected class.
QUESTIONS AND ANSWERS FULL STUDY
SHEET
●● As a licensee is showing a property contiguous to a lake, the licensee
notices that the lake has a large amount of algae. The buyer wishes to
make an offer. What should the licensee do?
Answer: Encourage the buyer to have an authoritative party investigate
the algae growth.
●● All the following are protected classifications except
Answer: Homosexuals
●● As licensees usually work as independent contractors, a broker will
have a contract
for the independent contractor which (for federal purposes) must outline
Answer: Statement that FICA (taxes) are the associates responsibility
●● In a rescission agreement:
Answer: All parties return to original position and earnest money is
refunded
,●● Agent A has been working at Brokerage for 4 years. Agent has listed
and sold many but desires to try industrial office sales. What is the best
course of action for houses Agent A?
Answer: Move license to an industrial/office
company and train under them
●● A seller is listing their $350,000 house. They state their property tax
bill is $1,110 per year. What should the agent do?
Answer: Verify the information with the county
●● A home warranty will typically provide coverage for which of the
following:
Answer: Electrical and plumbing systems
●● The local governments have authority to ensure that properties are
being built properly. Under the authority of police power, the
government can adapt and implement:
Answer: Construction standards
●● A married couple owns a property together as tenancy in entirety.
Which of the following about selling a property as tenancy in entirety is
true?
Answer: Both spouses must sign the conveyance
, ●● What statement is true about asbestos removal
Answer: Encapsulation is the safest tactic
●● An easement is
Answer: The right to use another's land
●● The amount to list a property is best determined by:
Answer: Competitive Market Analysis (CMA)
●● Interest on a security deposit Starts:
Answer: The month the Property Manager receives the security deposit
●● Racial discrimination is allowed:
Answer: NEVER
●● An agent goes door knocking in a subdivision. As part of his
presentation, he makes
mention of the fact that many families with children are moving into the
area and that house prices are rising. He then recommends the owner
should sell because he has a nice quiet subdivision of older, mature
families that are quiet. Is this discrimination
Answer: Yes- he is blockbusting by playing on the fears of consumers of
protected class.
