FL REAL ESTATE CHAPTER 2
ACCURATE 100%
1. The Florida Real Estate Commission was first created in what year?
(a) 1932
(b) 1925
(c) 1923
(d) 1919 - ANSWER Your answer: B
The first Florida Real Estate Commission was created in 1925 to administer and enforce
the law, streamlining the process by removing the necessity for court enforcement.
Reference: Chapter 2, Real Estate License Law, History of the Law
2. What is the purpose of the real estate license law?
(a) To protect the public
(b) To protect licensees
(c) To clarify the law
(d) To grant licenses - ANSWER Your answer: A
The purpose of the Florida Real Estate License Law, F.S. 475, is to protect the public.
The DBPR is essentially a consumer protection agency.
Reference: Chapter 2, Real Estate License Law, Purpose of the Law
3. Why was the Florida Real Estate Commission (FREC, or the Commission) created?
(a) To protect the public
(b) To administer and enforce the law
(c) To discipline licensees
(d) To award professional designations - ANSWER Your answer: B
The first FREC was created in 1925 to administer and enforce the law, streamlining the
process by removing the necessity for court enforcement.
Reference: Chapter 2, Real Estate License Law, History of the Law
4. A sales associate failed to complete the required post-license education prior to their
renewal deadline. What is the status of the sales associate's license?
(a) Revoked
(b) Suspended
(c) Involuntarily inactive
(d) Void - ANSWER Your answer: D
All sales associates, whether actively or inactively licensed, must complete a 45-hour
post-licensing course prior to the expiration date of their initial license period. Failure to
complete this required course prior to expiration of the initial license will cause the
license to become void, and the licensee will be out of business. To continue in the real
estate profession, he or she must take the 63-hour pre-license course over again and
pass another state examination.
Reference: Chapter 2, Renewing a Florida Real Estate License, Post-license (First
Renewal) Requirements - Sales Associate First Renewal
, 5. What does the registration of an active sales associate with the Department refer to?
(a) Placing and keeping on record the sales associate's name and home address
(b) Placing and keeping on record the sales associate's name, home address and
business address of his or her employing broker
(c) The broker's name and business address
(d) Placing and keeping on record the sales associate's name, and the business
address of his or her employer - ANSWER Your answer: B
Registration is the placing and keeping on record of the name and address of an
individual or business.
The Division of Real Estate (DRE, or the Division) maintains a registration list of all
brokers, sales associates, and businesses that employ licensees engaged in the real
estate business.
Reference: Chapter 2, Licensure and Registration
6. How may a licensed sales associate be paid by his or her owner-developer?
(a) On a salary basis only
(b) On a commission basis only
(c) On a commission basis without a bonus
(d) On a commission or salary basis - ANSWER Your answer: D
A sales associate or broker associate employed by an owner-developer can perform
services for compensation only with regard to property belonging to the owner-
developer. Compensation includes anything or any service of value paid, received, or
expected to be paid or received. The owner-developer can pay the sales associate a
commission or a salary.
Reference: Chapter 2, Employment - Employment by an Owner-Developer
12. Which condition must exist for an applicant to qualify for a Florida real estate
license?
(a) The applicant must be a citizen of the United States.
(b) The applicant must be a Florida resident.
(c) The applicant must be at least 21 years of age.
(d) The applicant must have a high school education or equivalent. - ANSWER Your
answer: D
Applicants for a real estate license must have attained the age of majority, which in
Florida is 18 or older, and have a high school education or equivalent. An applicant for a
Florida real estate license is not required to be a resident of the state of Florida.
Reference: Chapter 2, Obtaining a Florida Real Estate License, General Qualifications
for Licensure
13. Which of the following statements best describes an attorney-in-fact?
(a) An attorney-in-fact must be a member of the Florida Bar.
(b) An attorney-in-fact may be paid a commission for services of real estate.
(c) An attorney-in-fact is authorized by a power of attorney to act for another.
ACCURATE 100%
1. The Florida Real Estate Commission was first created in what year?
(a) 1932
(b) 1925
(c) 1923
(d) 1919 - ANSWER Your answer: B
The first Florida Real Estate Commission was created in 1925 to administer and enforce
the law, streamlining the process by removing the necessity for court enforcement.
Reference: Chapter 2, Real Estate License Law, History of the Law
2. What is the purpose of the real estate license law?
(a) To protect the public
(b) To protect licensees
(c) To clarify the law
(d) To grant licenses - ANSWER Your answer: A
The purpose of the Florida Real Estate License Law, F.S. 475, is to protect the public.
The DBPR is essentially a consumer protection agency.
Reference: Chapter 2, Real Estate License Law, Purpose of the Law
3. Why was the Florida Real Estate Commission (FREC, or the Commission) created?
(a) To protect the public
(b) To administer and enforce the law
(c) To discipline licensees
(d) To award professional designations - ANSWER Your answer: B
The first FREC was created in 1925 to administer and enforce the law, streamlining the
process by removing the necessity for court enforcement.
Reference: Chapter 2, Real Estate License Law, History of the Law
4. A sales associate failed to complete the required post-license education prior to their
renewal deadline. What is the status of the sales associate's license?
(a) Revoked
(b) Suspended
(c) Involuntarily inactive
(d) Void - ANSWER Your answer: D
All sales associates, whether actively or inactively licensed, must complete a 45-hour
post-licensing course prior to the expiration date of their initial license period. Failure to
complete this required course prior to expiration of the initial license will cause the
license to become void, and the licensee will be out of business. To continue in the real
estate profession, he or she must take the 63-hour pre-license course over again and
pass another state examination.
Reference: Chapter 2, Renewing a Florida Real Estate License, Post-license (First
Renewal) Requirements - Sales Associate First Renewal
, 5. What does the registration of an active sales associate with the Department refer to?
(a) Placing and keeping on record the sales associate's name and home address
(b) Placing and keeping on record the sales associate's name, home address and
business address of his or her employing broker
(c) The broker's name and business address
(d) Placing and keeping on record the sales associate's name, and the business
address of his or her employer - ANSWER Your answer: B
Registration is the placing and keeping on record of the name and address of an
individual or business.
The Division of Real Estate (DRE, or the Division) maintains a registration list of all
brokers, sales associates, and businesses that employ licensees engaged in the real
estate business.
Reference: Chapter 2, Licensure and Registration
6. How may a licensed sales associate be paid by his or her owner-developer?
(a) On a salary basis only
(b) On a commission basis only
(c) On a commission basis without a bonus
(d) On a commission or salary basis - ANSWER Your answer: D
A sales associate or broker associate employed by an owner-developer can perform
services for compensation only with regard to property belonging to the owner-
developer. Compensation includes anything or any service of value paid, received, or
expected to be paid or received. The owner-developer can pay the sales associate a
commission or a salary.
Reference: Chapter 2, Employment - Employment by an Owner-Developer
12. Which condition must exist for an applicant to qualify for a Florida real estate
license?
(a) The applicant must be a citizen of the United States.
(b) The applicant must be a Florida resident.
(c) The applicant must be at least 21 years of age.
(d) The applicant must have a high school education or equivalent. - ANSWER Your
answer: D
Applicants for a real estate license must have attained the age of majority, which in
Florida is 18 or older, and have a high school education or equivalent. An applicant for a
Florida real estate license is not required to be a resident of the state of Florida.
Reference: Chapter 2, Obtaining a Florida Real Estate License, General Qualifications
for Licensure
13. Which of the following statements best describes an attorney-in-fact?
(a) An attorney-in-fact must be a member of the Florida Bar.
(b) An attorney-in-fact may be paid a commission for services of real estate.
(c) An attorney-in-fact is authorized by a power of attorney to act for another.
