FLORIDA REAL ESTATE CLASS FINAL EXAM
ACTUAL 2025 QUESTION AND VERIFIED
ANSWERS
A Business Broker
Specializes in the sale, purchase or lease of businesses. Is
required to have a real estate license and may be licensed as a
real estate broker or sales associate
Follow-Up is
Keeping in contact with the new owner after the closing of the
sale
A builder constructs a house on an owner's lot according to
the owner's plans and specifications. This is called
Custom Building
Which parcel of land contains exactly 4 acres?
A. 330' x 396'
B. 330' x 462'
C. 400 x 4.356'
,D. 528' x 330'
D. (528 x 330 = 174,240 divided by 43,560 = 4)
Starting at the SE corner of a section thence West 660 ft to a
point, thence North 330 ft to a point, thence East 660 ft to a
point and thence to the point of beginning. This tract contains
how many acres?
A. 2
B. 3
C. 4
D. 5
...
which tract of land has a perimeter of 834.84 linear feet?
A. 100.00' x 834.84'
B. 100.00' x 417.42'
C. 200.84' x 215.84'
D. 208.71' x 208.71'
D. (208.71 + 208.71 + 208.71 + 208.71 = 834.84)
Before Tax Cash Flow is what?
,net operating income minus debt service
"Current market value less mortgage debt" describes what
term?
equity
Which is NOT a benefit of investing in real estate?
A. depreciation allowance that reduces taxable income
B. hedge against inflation
C. liquidity
D. positive leverage
liquidity
Which type of risk is associated with the loss of purchasing
power due to an unexpected increase in inflation?
A. business
B. interest rate
C. liquidity
D. purchasing power
Purchasing Power
, Positive Leverage
A. increases the return on equity from using debt financing
B. is selling an investment property at a profit
C. is the difference between a high interest rate and a lower
interest rate
D. is the difference between a high rate of return on RE and a
lower return on other types of investments
increases the return on equity from using debt financing
The use of leverage
A. has no effect on the yield on investment
B. may increase or decrease the yield on investment
C. Will decrease the yield on investment
D. will increase the yield on investment
MAY increase or decrease the yield on investment
Regarding the RE market, which statement is TRUE?
A. Govt regulations have little influence on the market
B. The market is influenced by the immobility of RE
ACTUAL 2025 QUESTION AND VERIFIED
ANSWERS
A Business Broker
Specializes in the sale, purchase or lease of businesses. Is
required to have a real estate license and may be licensed as a
real estate broker or sales associate
Follow-Up is
Keeping in contact with the new owner after the closing of the
sale
A builder constructs a house on an owner's lot according to
the owner's plans and specifications. This is called
Custom Building
Which parcel of land contains exactly 4 acres?
A. 330' x 396'
B. 330' x 462'
C. 400 x 4.356'
,D. 528' x 330'
D. (528 x 330 = 174,240 divided by 43,560 = 4)
Starting at the SE corner of a section thence West 660 ft to a
point, thence North 330 ft to a point, thence East 660 ft to a
point and thence to the point of beginning. This tract contains
how many acres?
A. 2
B. 3
C. 4
D. 5
...
which tract of land has a perimeter of 834.84 linear feet?
A. 100.00' x 834.84'
B. 100.00' x 417.42'
C. 200.84' x 215.84'
D. 208.71' x 208.71'
D. (208.71 + 208.71 + 208.71 + 208.71 = 834.84)
Before Tax Cash Flow is what?
,net operating income minus debt service
"Current market value less mortgage debt" describes what
term?
equity
Which is NOT a benefit of investing in real estate?
A. depreciation allowance that reduces taxable income
B. hedge against inflation
C. liquidity
D. positive leverage
liquidity
Which type of risk is associated with the loss of purchasing
power due to an unexpected increase in inflation?
A. business
B. interest rate
C. liquidity
D. purchasing power
Purchasing Power
, Positive Leverage
A. increases the return on equity from using debt financing
B. is selling an investment property at a profit
C. is the difference between a high interest rate and a lower
interest rate
D. is the difference between a high rate of return on RE and a
lower return on other types of investments
increases the return on equity from using debt financing
The use of leverage
A. has no effect on the yield on investment
B. may increase or decrease the yield on investment
C. Will decrease the yield on investment
D. will increase the yield on investment
MAY increase or decrease the yield on investment
Regarding the RE market, which statement is TRUE?
A. Govt regulations have little influence on the market
B. The market is influenced by the immobility of RE
