California Salesperson Responsibilities exam
2026 questions and rationales answers
1. What is a California real estate salesperson primarily authorized to do?
A. Operate an independent brokerage without supervision
B. Perform licensed real estate activities under the supervision of a licensed broker
C. Establish escrow companies
D. Issue real estate licenses
Rationale: A salesperson may perform licensed activities only while affiliated with and
supervised by a licensed California real estate broker.
2. To whom does a salesperson owe fiduciary duties when acting as an agent?
A. Only the California DRE
B. Only the lender
C. The salesperson's principal/client
D. The county assessor
Rationale: An agent owes fiduciary duties to the principal, including loyalty, confidentiality,
disclosure, and reasonable care.
3. A California salesperson receives a deposit check from a buyer. What should the
salesperson generally do?
A. Deposit it into a personal account
B. Hold it at home until closing
C. Deliver it promptly to the broker
D. Give it directly to the seller
Rationale: Salespersons must promptly deliver trust funds received in connection with a
transaction to their broker.
4. Who is responsible for supervising a California salesperson?
A. The county recorder
B. The escrow officer
C. The employing broker
D. The property tax assessor
Rationale: The employing broker has the responsibility to supervise affiliated salespersons.
,5. A salesperson wants to advertise a property for sale. Which statement is correct?
A. The salesperson may advertise independently under any name
B. The salesperson may omit the broker's identity
C. The advertisement must comply with California law and applicable broker supervision
requirements
D. The salesperson can advertise only after closing
Rationale: Real estate advertising must comply with California law, including requirements
concerning broker identification and truthful advertising.
6. A salesperson changes brokers. What happens to the salesperson's ability to perform
licensed activities?
A. The salesperson automatically becomes a broker
B. The salesperson may continue independently
C. The salesperson must be affiliated with a licensed broker to perform licensed activities
D. The salesperson's license automatically becomes inactive permanently
Rationale: A salesperson's license does not authorize independent brokerage activity.
7. Which duty requires a salesperson to disclose material facts known about a transaction?
A. Duty of secrecy
B. Duty of disclosure
C. Duty to appraise
D. Duty to lend
Rationale: Agents must disclose material facts that could affect the principal's decisions.
8. A salesperson learns that a property has a serious defect unknown to the buyer. What
should the salesperson do?
A. Conceal it to protect the sale
B. Tell only the lender
C. Make the required disclosure
D. Wait until after closing
Rationale: Concealing a known material fact can violate the salesperson's duties and California
law.
9. A salesperson owes a duty of reasonable care to a client. This means the salesperson
should:
, A. Guarantee the transaction will close
B. Use reasonable skill, care, and diligence
C. Always accept the client's first offer
D. Make all decisions for the client
Rationale: An agent must exercise reasonable skill and care when performing authorized duties.
10. Which activity is generally prohibited for a salesperson acting independently?
A. Showing property
B. Presenting offers through the broker
C. Negotiating under broker supervision
D. Operating a brokerage business without a broker
Rationale: A salesperson must perform licensed activities under a licensed broker's supervision.
11. A salesperson receives an offer from a buyer. What is the salesperson's appropriate
responsibility?
A. Destroy the offer if the seller may reject it
B. Present the offer to the appropriate principal through the broker as required
C. Sign the offer for the seller
D. Automatically accept it
Rationale: Agents generally must promptly communicate and present offers according to their
agency duties and instructions.
12. Which principle best describes an agent's duty of loyalty?
A. Put the agent's interests first
B. Act in the principal's best interests within the scope of the agency
C. Favor the highest commission
D. Protect only the transaction
Rationale: Loyalty requires the agent to place the principal's interests ahead of the agent's own
interests.
13. A salesperson is representing a seller and learns the seller would accept less than the
listed price. The salesperson should:
A. Tell competing buyers
B. Tell the buyer immediately
C. Keep the information confidential unless disclosure is authorized or legally required
D. Publish the information
2026 questions and rationales answers
1. What is a California real estate salesperson primarily authorized to do?
A. Operate an independent brokerage without supervision
B. Perform licensed real estate activities under the supervision of a licensed broker
C. Establish escrow companies
D. Issue real estate licenses
Rationale: A salesperson may perform licensed activities only while affiliated with and
supervised by a licensed California real estate broker.
2. To whom does a salesperson owe fiduciary duties when acting as an agent?
A. Only the California DRE
B. Only the lender
C. The salesperson's principal/client
D. The county assessor
Rationale: An agent owes fiduciary duties to the principal, including loyalty, confidentiality,
disclosure, and reasonable care.
3. A California salesperson receives a deposit check from a buyer. What should the
salesperson generally do?
A. Deposit it into a personal account
B. Hold it at home until closing
C. Deliver it promptly to the broker
D. Give it directly to the seller
Rationale: Salespersons must promptly deliver trust funds received in connection with a
transaction to their broker.
4. Who is responsible for supervising a California salesperson?
A. The county recorder
B. The escrow officer
C. The employing broker
D. The property tax assessor
Rationale: The employing broker has the responsibility to supervise affiliated salespersons.
,5. A salesperson wants to advertise a property for sale. Which statement is correct?
A. The salesperson may advertise independently under any name
B. The salesperson may omit the broker's identity
C. The advertisement must comply with California law and applicable broker supervision
requirements
D. The salesperson can advertise only after closing
Rationale: Real estate advertising must comply with California law, including requirements
concerning broker identification and truthful advertising.
6. A salesperson changes brokers. What happens to the salesperson's ability to perform
licensed activities?
A. The salesperson automatically becomes a broker
B. The salesperson may continue independently
C. The salesperson must be affiliated with a licensed broker to perform licensed activities
D. The salesperson's license automatically becomes inactive permanently
Rationale: A salesperson's license does not authorize independent brokerage activity.
7. Which duty requires a salesperson to disclose material facts known about a transaction?
A. Duty of secrecy
B. Duty of disclosure
C. Duty to appraise
D. Duty to lend
Rationale: Agents must disclose material facts that could affect the principal's decisions.
8. A salesperson learns that a property has a serious defect unknown to the buyer. What
should the salesperson do?
A. Conceal it to protect the sale
B. Tell only the lender
C. Make the required disclosure
D. Wait until after closing
Rationale: Concealing a known material fact can violate the salesperson's duties and California
law.
9. A salesperson owes a duty of reasonable care to a client. This means the salesperson
should:
, A. Guarantee the transaction will close
B. Use reasonable skill, care, and diligence
C. Always accept the client's first offer
D. Make all decisions for the client
Rationale: An agent must exercise reasonable skill and care when performing authorized duties.
10. Which activity is generally prohibited for a salesperson acting independently?
A. Showing property
B. Presenting offers through the broker
C. Negotiating under broker supervision
D. Operating a brokerage business without a broker
Rationale: A salesperson must perform licensed activities under a licensed broker's supervision.
11. A salesperson receives an offer from a buyer. What is the salesperson's appropriate
responsibility?
A. Destroy the offer if the seller may reject it
B. Present the offer to the appropriate principal through the broker as required
C. Sign the offer for the seller
D. Automatically accept it
Rationale: Agents generally must promptly communicate and present offers according to their
agency duties and instructions.
12. Which principle best describes an agent's duty of loyalty?
A. Put the agent's interests first
B. Act in the principal's best interests within the scope of the agency
C. Favor the highest commission
D. Protect only the transaction
Rationale: Loyalty requires the agent to place the principal's interests ahead of the agent's own
interests.
13. A salesperson is representing a seller and learns the seller would accept less than the
listed price. The salesperson should:
A. Tell competing buyers
B. Tell the buyer immediately
C. Keep the information confidential unless disclosure is authorized or legally required
D. Publish the information
