CE SHOP FINAL EXAM COURSE 2
QUESTIONS AND ANSWERS
Shannon doesn't understand why her agent wants her to add a contingency to her
purchase offer. Her agent, Scott, explains that the property is in a transitional
neighborhood, and it might be overpriced. What type of contingency is Scott
recommending? - Answer-Appraisal
How do you calculate the area for a square room? - Answer-Multiply the length of two
sides together
Madeline is a property manager who's calculating the vacancy rate for the apartment
building she manages. What formula would she use to do this? - Answer-Number of
vacant units ÷ total units
Which of these scenarios is basically the same as fraud? - Answer-Jeannie's ad read
"all new fixtures," when most of the fixtures were just cleaned up and re-installed.
To make valid computations of adjustments for the sales comparison approach to value,
elements of comparison must be applied in a specific order. Which one of these
elements listed has the highest priority? - Answer-Conditions of Sale
Shelly's flower business is blooming and it's time for her business to grow. She plans to
take out a business loan to open two more shops on the north side of town. Which
lending institution would she most likely go to for the loan? - Answer-A Commercial
Bank
Among other things, what should a listing in the MLS always include? - Answer-At least
one Photo
You get a loan from the Loan Star Bank to help pay for your home. Find the interest on
the loan if you borrowed $12,000 at 10% for one year. - Answer-$1,200
$12,000 * 0.1 = $1,200
A buyer who discovers after closing that a seller wasn't honest about the property
condition on the required disclosures can ______. - Answer-Sue the seller
Which of the following scenarios describes information that a licensee must disclose? -
Answer-The seller didn't disclose any leaks, but the licensee sees moisture on the
basement floor.
If a property is 500 feet by 800 feet, what's the front footage? - Answer-500 feet
What is another name for the contract for deed? - Answer-An installment contract
, Jerry is a new real estate licensee and is helping his buyer clients write up their
purchase offer. Which of these statements is true? - Answer-Jerry should include the
legal description in the offer because it provides a complete description of the property.
Ken signed a contract to purchase Debra's condo. Ken signed the contract two weeks
prior to turning 18, which is the age of majority in his state. Debra found out about his
age prior to the closing but honored the contract, and they closed on the condo a month
after Ken's birthday. What was the status of the contract when Ken and Debra entered
into it? - Answer-Voidable
Bradley listed a house at an 8% commission rate, and it just sold for $723,500. His firm
and the buyer's agent's firm split the commission equally between them. Then Bradley,
who has a 50/50 commission split with his broker, took his check to the bank. How
much did Bradley earn from this transaction? - Answer-$14,470
723,500 * 0.08 =57,880
57,880/2 = 28,940
28,940/2 = 14,470
How many feet are in one yard? - Answer-three
How do you calculate the area for a rectangular room? - Answer-Multiply the length
times the width.
You're measuring the square footage of a single-family home you've just built. What
national requirements apply to your measurements? - Answer-There are no national
requirements.
Which economic principle is related to supply and demand? - Answer-Competition
How many copies of an offer does a buyer need to sign? - Answer-One
A calculation that describes the amount being borrowed compared to the value of a
property is called ______ ratio. - Answer-Loan-to-value
Which of the following individuals would be a competent party to a contract? - Answer-
Graciella, a 28-year-old unemployed parolee
As a security precaution, which of the following is something you should do? - Answer-
Limit the amount of personal information you post.
Lawrence is a buyer closing on a home purchase for which he's obtaining financing. He
receives a Loan Estimate from his lender. What's one purpose of this document? -
Answer-To provide the estimated closing costs for Lawrence's loan
QUESTIONS AND ANSWERS
Shannon doesn't understand why her agent wants her to add a contingency to her
purchase offer. Her agent, Scott, explains that the property is in a transitional
neighborhood, and it might be overpriced. What type of contingency is Scott
recommending? - Answer-Appraisal
How do you calculate the area for a square room? - Answer-Multiply the length of two
sides together
Madeline is a property manager who's calculating the vacancy rate for the apartment
building she manages. What formula would she use to do this? - Answer-Number of
vacant units ÷ total units
Which of these scenarios is basically the same as fraud? - Answer-Jeannie's ad read
"all new fixtures," when most of the fixtures were just cleaned up and re-installed.
To make valid computations of adjustments for the sales comparison approach to value,
elements of comparison must be applied in a specific order. Which one of these
elements listed has the highest priority? - Answer-Conditions of Sale
Shelly's flower business is blooming and it's time for her business to grow. She plans to
take out a business loan to open two more shops on the north side of town. Which
lending institution would she most likely go to for the loan? - Answer-A Commercial
Bank
Among other things, what should a listing in the MLS always include? - Answer-At least
one Photo
You get a loan from the Loan Star Bank to help pay for your home. Find the interest on
the loan if you borrowed $12,000 at 10% for one year. - Answer-$1,200
$12,000 * 0.1 = $1,200
A buyer who discovers after closing that a seller wasn't honest about the property
condition on the required disclosures can ______. - Answer-Sue the seller
Which of the following scenarios describes information that a licensee must disclose? -
Answer-The seller didn't disclose any leaks, but the licensee sees moisture on the
basement floor.
If a property is 500 feet by 800 feet, what's the front footage? - Answer-500 feet
What is another name for the contract for deed? - Answer-An installment contract
, Jerry is a new real estate licensee and is helping his buyer clients write up their
purchase offer. Which of these statements is true? - Answer-Jerry should include the
legal description in the offer because it provides a complete description of the property.
Ken signed a contract to purchase Debra's condo. Ken signed the contract two weeks
prior to turning 18, which is the age of majority in his state. Debra found out about his
age prior to the closing but honored the contract, and they closed on the condo a month
after Ken's birthday. What was the status of the contract when Ken and Debra entered
into it? - Answer-Voidable
Bradley listed a house at an 8% commission rate, and it just sold for $723,500. His firm
and the buyer's agent's firm split the commission equally between them. Then Bradley,
who has a 50/50 commission split with his broker, took his check to the bank. How
much did Bradley earn from this transaction? - Answer-$14,470
723,500 * 0.08 =57,880
57,880/2 = 28,940
28,940/2 = 14,470
How many feet are in one yard? - Answer-three
How do you calculate the area for a rectangular room? - Answer-Multiply the length
times the width.
You're measuring the square footage of a single-family home you've just built. What
national requirements apply to your measurements? - Answer-There are no national
requirements.
Which economic principle is related to supply and demand? - Answer-Competition
How many copies of an offer does a buyer need to sign? - Answer-One
A calculation that describes the amount being borrowed compared to the value of a
property is called ______ ratio. - Answer-Loan-to-value
Which of the following individuals would be a competent party to a contract? - Answer-
Graciella, a 28-year-old unemployed parolee
As a security precaution, which of the following is something you should do? - Answer-
Limit the amount of personal information you post.
Lawrence is a buyer closing on a home purchase for which he's obtaining financing. He
receives a Loan Estimate from his lender. What's one purpose of this document? -
Answer-To provide the estimated closing costs for Lawrence's loan
