Texas Real Estate Principles 1 (Practice Exam) 2023 (Correctly Answered)

1. Courses for the renewal of an active real estate broker or sales agent license are called: continuing education (CE) 2. What is the maximum amount that the Commission will pay from the real estate recovery trust account for claims against any one license holder, until the account has been repaid in full by the license holder?: $100,000 3. Which is owned by the tenant?: a trade fixture 4. Which of the following terms refers not only to the surface of the earth but also below to the center of the earth, above to infinity, and natural things permanently attached but does NOT refer to artificial things permanently attached?: land 5. If the court learns that the seller placed a sign that said "Not Included" on the stove every time a buyer looked at the property, the court will consider which of the following in determining whether the stove is a fixture, absent a written agreement?: Intention of the parties 6. What type of estate is complete ownership and exists for an unlimited time?: fee simple 7. If a condition of ownership is violated, title to the subject property auto- matically reverts to the original owner in: a determinable fee estate 8. An urban homestead is limited to a lot or lots NOT to exceed how many acres?: 10 9. The method used to describe real estate by distance, direction, and bound- aries is: metes-and-bounds method 10. Which equals one square mile or 640 acres?: section 11. Under the federal Fair Housing Act, real estate organizations, such as multiple listing services, may NOT do which because someone is in a pro- tected group?: refuse membership or put conditions on participation 12. Which aspect of the Canons of Professional Ethics and Conduct requires the broker or sales agent to be informed on market conditions and national, state, and local developments affecting the real estate business?: competen- cy. 13. A complaint of discrimination brought under the Texas Fair Housing Act can be filed with the U.S. Department of Housing and Urban Development or with: the Texas Workforce Commission Civil Rights Division 14. An aggrieved person who believes illegal discrimination has occurred may file a complaint within what time frame following the alleged discrimi- natory act?: ONE YEAR 15. Appurtenant easement rights transfer with: the dominant tenement 16. An owner sells part of his land that has no access to a public road but does have access over his remaining land. This creates an easement by: necessity 17. When there are two or more liens on a property, the order in which the liens will be satisfied when the property is sold will be determined by: the priority of the liens 18. Which of the following may be a natural object, such as a tree or a boulder, or an artificial object, such as a steel rod or a stake driven into the ground?: Monument 19. It is unlawful for a person to act in the capacity of or claim to be a real estate broker without first: obtaining a license from the Texas Real Estate Commission 20. A real estate broker's license is NOT required of persons who: advertise and lease their own properties 21. The Texas Real Estate Commission is composed of: nine members, six of whom are brokers and three of whom are lay members, each appointed by the governor with senate approval 22. Before people can act in the capacity of or represent themselves as real estate brokers, they must first: obtain a license from the Texas Real Estate Commission 23. A license holder must use the earnest money contract forms promulgated by the Commission unless: an attorney prepares the forms and the property owner requires their use