PEARSON VUE MAIN EXAMINATION ANSWERS AND
QUESTIONS SET A+
✔✔an illegal lending practice whereby a bank refuses to make mortgage loans in a
certain neighborhood based on the ethnic makeup of that area is known as:
a. segregation
b. bad-risk lending
c. blueblooding
d. redlining - ✔✔d. redlining
✔✔under an exclusive right-to-sell listing, a licensee has the authority to take which of
the following actions on behalf of a seller
a. accept any bonafide offer
b. present only those offers that meet the sellers list price
c. order any needed repairs to the prop
d. advertise the prop for sale - ✔✔d, advertise the prop for saleq
✔✔the continued use of a property that was lawful at the time the use began but now is
in violation of a zoning regulation is an example of
a. a variance
b. spot-zoning
c. nonconforming use
d. exclusionary zoning - ✔✔c. nonconforming use
✔✔which of the following BEST describes a purpose of general liability insurance?
a. insurance that protects a licensee in the event of an on-the-job injury
b. insurance that covers a licensee and a potential buyer who suffer a car crash while
viewing properties
c. insurance that protects a company's assets if someone gets injured on company
property
, d. insurance that pays for lost wages for licenseed who are employees - ✔✔c.
insurance that protects the company if someone gets injured on property
✔✔a licensee preparing a competitive market analysis has info on a comparable
property that is similar in all respects to the subject property except that, while the
subject property is 10 yr old and has 2 baths, the comp prop is 5 yrs old and has one
bath. in this case, the licensee should adjust the
a. sale price of the com prop, down for the age and up for the number of baths
b. sale price of the comp prop, up for the age and down for the # of baths
c. value of the subject prop, up for the age and up for # of baths
d. value of the subject property, up for the age and down for the number of bath - ✔✔a.
sale price of the com prop, down for the age and up for the number of baths
✔✔a homeowner who plans to travel for a year asks a real estate firm to rent the house
for this period and indicates a preference for a white family rather than a black family, "if
at all possible" under the federal fair housing act, the broker SHOULD inform them that
these instructions:
a. cannot be followed bc they violate The Act
b. will be followed only if the owner accepts responsibility in case of lawsuit
c. cannot be folowed unless the owner puts it in writing
d. will be followed bc normally the house is owner-occupid - ✔✔a. cannot be followed bc
it violates the Act
✔✔which of the following situations BEST demonstrates an example of an
encroachment
a. a legal access road that runs across a prop from a public road to another property
b. a storage building that extends over the boundary line onto an adjacent prop
c. timber that has been cut down on the prop by a tenant to use as firewood
d. a right of way for electric and telephone lines that cross a prop. - ✔✔d. a right of way
for electric and telephone lines that cross a prop.
✔✔title insurance on a prop is $1,740.90. the fee for the title search is $375, the cost of
preparing papers is $75, and other miscellaneous fees amount to $60.10. if the seller
pays %60 of the total charge and the buyer pays the balance, to the nearest dollar, how
much MORE will the seller pay than the buyer
a. $225
b. $450
c. $530
d. $900 - ✔✔b. $450
QUESTIONS SET A+
✔✔an illegal lending practice whereby a bank refuses to make mortgage loans in a
certain neighborhood based on the ethnic makeup of that area is known as:
a. segregation
b. bad-risk lending
c. blueblooding
d. redlining - ✔✔d. redlining
✔✔under an exclusive right-to-sell listing, a licensee has the authority to take which of
the following actions on behalf of a seller
a. accept any bonafide offer
b. present only those offers that meet the sellers list price
c. order any needed repairs to the prop
d. advertise the prop for sale - ✔✔d, advertise the prop for saleq
✔✔the continued use of a property that was lawful at the time the use began but now is
in violation of a zoning regulation is an example of
a. a variance
b. spot-zoning
c. nonconforming use
d. exclusionary zoning - ✔✔c. nonconforming use
✔✔which of the following BEST describes a purpose of general liability insurance?
a. insurance that protects a licensee in the event of an on-the-job injury
b. insurance that covers a licensee and a potential buyer who suffer a car crash while
viewing properties
c. insurance that protects a company's assets if someone gets injured on company
property
, d. insurance that pays for lost wages for licenseed who are employees - ✔✔c.
insurance that protects the company if someone gets injured on property
✔✔a licensee preparing a competitive market analysis has info on a comparable
property that is similar in all respects to the subject property except that, while the
subject property is 10 yr old and has 2 baths, the comp prop is 5 yrs old and has one
bath. in this case, the licensee should adjust the
a. sale price of the com prop, down for the age and up for the number of baths
b. sale price of the comp prop, up for the age and down for the # of baths
c. value of the subject prop, up for the age and up for # of baths
d. value of the subject property, up for the age and down for the number of bath - ✔✔a.
sale price of the com prop, down for the age and up for the number of baths
✔✔a homeowner who plans to travel for a year asks a real estate firm to rent the house
for this period and indicates a preference for a white family rather than a black family, "if
at all possible" under the federal fair housing act, the broker SHOULD inform them that
these instructions:
a. cannot be followed bc they violate The Act
b. will be followed only if the owner accepts responsibility in case of lawsuit
c. cannot be folowed unless the owner puts it in writing
d. will be followed bc normally the house is owner-occupid - ✔✔a. cannot be followed bc
it violates the Act
✔✔which of the following situations BEST demonstrates an example of an
encroachment
a. a legal access road that runs across a prop from a public road to another property
b. a storage building that extends over the boundary line onto an adjacent prop
c. timber that has been cut down on the prop by a tenant to use as firewood
d. a right of way for electric and telephone lines that cross a prop. - ✔✔d. a right of way
for electric and telephone lines that cross a prop.
✔✔title insurance on a prop is $1,740.90. the fee for the title search is $375, the cost of
preparing papers is $75, and other miscellaneous fees amount to $60.10. if the seller
pays %60 of the total charge and the buyer pays the balance, to the nearest dollar, how
much MORE will the seller pay than the buyer
a. $225
b. $450
c. $530
d. $900 - ✔✔b. $450
