301 NC POST LICENSING PRACTICE EXAM
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Answers ALREADY GRADED A+ Latest
Versions 2025
Mauricio, affiliated with Lively Realty, is meeting with a seller. Mauricio's firm practices dual agency and he
is explaining that agency option to the seller. When he describes dual agency, the seller needs to understand
that Lively Realty and Mauricio would be limited in some of the fiduciary duties that the seller would receive
if the firm were in exclusive agency. What duties are limited in dual agency?
A) They will be limiting loyalty.
B) They will be limiting fairness.
C) They will be limiting honesty.
D) They will be limiting presentation of offers. - answer-A) They will be limiting loyalty.
Francesca and Taylor are affiliated with Top Notch Realty. Francesca is working as the listing agent for the
seller and Taylor is working with the firm's buyer-client. The buyer wants to purchase the seller's property.
Which of the following statements is TRUE?
A) Francesca and Taylor need to have a dual agency agreement in writing from both the buyer and the
seller by the time the buyer makes an offer.
B) Neither Francesca nor Taylor need to get dual agency disclosure and consent in writing.
C) Francesca needs to have the seller's dual agency agreement in writing by offer time, but Taylor
never needs to get the buyer's consent in writing.
D) Francesca does not need to get the seller's written consent for dual agency, but Taylor needs to get
the buyer's written consent for dual agency by the due diligence period. - answer-A) Francesca and Taylor
need to have a dual agency agreement in writing from both the buyer and the seller by the time the buyer
makes an offer.
Beck would like to hire a firm to represent him but is unsure of the dual agency provision in the North
Carolina Association of REALTORS® Form 201, Exclusive Buyer Agency Agreement. What does his agent need
to tell him about the provision regarding the buyer's duties under dual agency?
A) Buyer has determined that the benefits of dual agency outweigh any disadvantages or adverse
consequences.
B) Both of these.
C) Buyer has the responsibility of making their own decisions as to what terms are to be included in
any purchase and sale agreement with a seller-client of the firm.
D) Neither of these. - answer-B) Both of these.
Bruce is affiliated with Dream Homes Realty and just listed a nice ranch style home for sale. He is also
working with a buyer who has been looking for a similar property. How can Bruce stay in compliance with
Commission rules and show this new listing to the buyer?
A) Bruce must obtain disclosure and consent from the seller.
B) Bruce must obtain disclosure and consent from both the buyer and the seller.
C) Bruce does not need disclosure and consent from either one of them until they go under contract.
,D) Bruce must obtain disclosure and consent from the buyer. - answer-B) Bruce must obtain disclosure
and consent from both the buyer and the seller.
Eddie is a seller who has an agency agreement signed with a local real estate firm. The firm has a buyer that
would potentially like to see the seller's home. According to the North Carolina Association of REALTORS®
Form 101, Exclusive Right to Sell Listing Agreement, what does Eddie need to understand about dual
agency?
A) The firm is required by law to disclose to seller and buyer any known or reasonably ascertainable
material facts.
B) Both of these.
C) Prior to the time dual agency occurs, the firm will act as seller's exclusive agent.
D) Neither of these. - answer-B) Both of these.
Ethan is affiliated with Dream Homes Realty and meets with a buyer, Andrew, to discuss working together.
Ethan is explaining the agency options available to Andrew. When explaining dual agency, what does
Andrew need to understand MOST about the dual agency option?
A) Andrew needs to understand that there is no conflict of interest between the buyer and the seller.
B) Andrew needs to understand that there is an inherent conflict of interest between the buyer and
the seller.
C) Andrew needs to understand that he will be getting full representation and the seller will be getting
full representation.
D) Andrew needs to understand that neither the buyer nor the seller will be getting any
representation.
- answer-B) Andrew needs to understand that there is an inherent conflict of interest between the buyer
and the seller.
Bailee is hiring a firm to represent her and has agreed to designated agency. Which of the following
statements is TRUE?
A) Designated agency is where one firm and only one agent within that firm is representing both the
interests of the buyer and the seller.
B) Designated agency is a form of exclusive agency; there is one firm representing the buyer and a
different firm representing the seller.
C) Designated agency has the effect of restoring the ability of the designated agents working with the
seller and the buyer to fully advise their clients and advocate for their client's interests.
D) Designated agency is a form of dual agency where each of the firm's principals must remain neutral
in the transaction. - answer-C) Designated agency has the effect of restoring the ability of the designated
agents working with the seller and the buyer to fully advise their clients and advocate for their client's
interests.
Theo and his firm have been working with a buyer-client for several weeks and have not found the right
property yet. Theo recently listed a property for sale that meets the buyer's requirements. If both the buyer
and seller agreed to dual and designated agency, which of the following statements would be TRUE?
A) Theo is not allowed to act in dual agency in this situation and the broker-in-charge will need to
reassign the listing to another agent in the firm.
B) Theo can work with both the buyer and the seller and remain in dual agency.
C) Theo could act as a designated agent for both the buyer and the seller.
D) Theo would need to refer the buyer to a different firm and then he can represent the interests of
the seller only. - answer-B) Theo can work with both the buyer and the seller and remain in dual agency.
,Kate is a buyer who has an agency agreement signed with a local real estate firm and is looking at a property
listed by the same firm. According to the North Carolina Association of REALTORS® Form 201, Exclusive
Buyer Agency Agreement, Kate needs to understand about dual agency. Which of the statements is FALSE?
A) That the firm shall make every reasonable effort to encourage the seller to negotiate a lower price
for the buyer.
B) That the firm serves as agent for both buyer and seller in a transaction.
C) That the firm shall make every reasonable effort to represent buyer and seller in a balanced and fair
manner.
D) That the firm shall make every reasonable effort to encourage and effect communication
negotiations between buyer and seller. - answer-A) That the firm shall make every reasonable effort to
encourage the seller to negotiate a lower price for the buyer.
Joe is a W-2 employee of a real estate firm who manages income-producing properties for others. Which of
the following activities would Joe NOT be allowed to perform?
A) Showing the rental units
B) Collect rents and deposits
C) Complete preprinted lease agreements
D) Negotiate lease terms - answer-D) Negotiate lease terms
Taylor is meeting with the property owner to complete the North Carolina Association of REALTORS® (NCAR)
Form 401, Exclusive Property Management Agreement, with her firm's client. How is the provision for
marketing BEST described?
A) The property management firm determines all forms of marketing; it is the reason why the client
hired the firm.
B) Since the client is responsible for payment of all marketing and advertising, they handle this
themselves outside the property management agreement.
C) The client authorizes the use of signage, listing service, non-internet, and internet advertising.
D) Residential property management does not have a need to market rental properties. - answer-C)
The client authorizes the use of signage, listing service, non-internet, and internet advertising.
Quay owns an office building and is hiring Triple A Realty to manage his building. What is the first thing that
Triple A Realty must do when preparing to manage the building?
A) Create marketing and advertising
B) Sign a property management agreement
C) Develop a comprehensive management plan
D) Create rules and regulations - answer-C) Develop a comprehensive management plan
Best Property Management Realty hired Felix, an unlicensed assistant, to help with some of the firm's
responsibilities to the property owners they are representing. Which of the following activities would Felix
NOT be allowed to perform?
A) Act as courier to deliver and pick up documents
B) Place "for rent" sign on the properties
C) Schedule appointments for showing the rental units
D) Agree to reduce the rental rate for a prospective tenant - answer-D) Agree to reduce the rental rate
for a prospective tenant
, Laird owns several single-family homes and duplexes near the local college and has hired Perry and his firm
to manage these properties. Which of the following statements is TRUE?
A) Since Perry is not the owner of the property, he does not need to comply with either law.
B) Perry needs to comply with both laws.
C) Perry needs to comply with the Tenant Security Deposit Act.
D) Perry needs to comply with the Residential Rental Agreements Act. - answer-B) Perry needs to
comply with both laws.
Tania is creating an annual operating budget for a property with 50 units. What would be the effective gross
income based on the following information: 30 units rent for $2,500, 15 units rent for $3,000, and 5 units
rent for $4,000; vacancy and collection losses are 7%?
A) $1,562,400
B) $117,600
C) $1,680,000
D) $130,200 - answer-A) $1,562,400
Farah is meeting with a real estate firm to discuss hiring them to manage her rental properties. Farah and
the firm have verbally agreed to all the terms of the agency agreement and the firm begins working on her
behalf. They agree to meet in two weeks to sign the written agreement. Which of the following statements
is TRUE?
A) Farah can agree to an oral agency agreement until the firm secures the first tenant.
B) Farah must have her agency agreement in writing from the beginning of her relationship with the
firm but she has a mandatory three-day right of recession.
C) Farah must have her agency agreement in writing from the very beginning of her relationship with
the firm.
D) Farah can enter into an oral agency agreement with the firm for up to 14 days and then it must be
reduced to writing. - answer-C) Farah must have her agency agreement in writing from the very beginning of
her relationship with the firm.
Bonita is affiliated with Owner's Choice Realty who manages residential properties. Bonita is meeting with a
client and will complete the North Carolina Association of REALTORS® (NCAR) Form 401, Exclusive Property
Management Agreement. The provision regarding the duration of the agreement indicates which of the
following?
A) The duration of the agreement must have an effective date and can be open ended.
B) The duration of the agreement must be for a minimum of one year and then can convert to a
month- to-month agreement.
C) The duration of the agreement must have an effective date and a termination date.
D) The duration of the agreement must have an effective date, termination date, and can allow for an
automatic renewal. - answer-D) The duration of the agreement must have an effective date, termination
date, and can allow for an automatic renewal.
Devesh is meeting with his property management firm to discuss his annual operating budget. The firm has
determined that the gross potential rental income is $1,695,000, the vacancy and collection losses are 6%,
the operating expenses are $585,000, and debt service is $897,000. What would the firm calculate the
before tax cash flow to be?
A) $213,000
B) $111,300
C) $696,300
D) $1,008,300 - answer-B) $111,300
Questions with100% Correct Detailed
Answers ALREADY GRADED A+ Latest
Versions 2025
Mauricio, affiliated with Lively Realty, is meeting with a seller. Mauricio's firm practices dual agency and he
is explaining that agency option to the seller. When he describes dual agency, the seller needs to understand
that Lively Realty and Mauricio would be limited in some of the fiduciary duties that the seller would receive
if the firm were in exclusive agency. What duties are limited in dual agency?
A) They will be limiting loyalty.
B) They will be limiting fairness.
C) They will be limiting honesty.
D) They will be limiting presentation of offers. - answer-A) They will be limiting loyalty.
Francesca and Taylor are affiliated with Top Notch Realty. Francesca is working as the listing agent for the
seller and Taylor is working with the firm's buyer-client. The buyer wants to purchase the seller's property.
Which of the following statements is TRUE?
A) Francesca and Taylor need to have a dual agency agreement in writing from both the buyer and the
seller by the time the buyer makes an offer.
B) Neither Francesca nor Taylor need to get dual agency disclosure and consent in writing.
C) Francesca needs to have the seller's dual agency agreement in writing by offer time, but Taylor
never needs to get the buyer's consent in writing.
D) Francesca does not need to get the seller's written consent for dual agency, but Taylor needs to get
the buyer's written consent for dual agency by the due diligence period. - answer-A) Francesca and Taylor
need to have a dual agency agreement in writing from both the buyer and the seller by the time the buyer
makes an offer.
Beck would like to hire a firm to represent him but is unsure of the dual agency provision in the North
Carolina Association of REALTORS® Form 201, Exclusive Buyer Agency Agreement. What does his agent need
to tell him about the provision regarding the buyer's duties under dual agency?
A) Buyer has determined that the benefits of dual agency outweigh any disadvantages or adverse
consequences.
B) Both of these.
C) Buyer has the responsibility of making their own decisions as to what terms are to be included in
any purchase and sale agreement with a seller-client of the firm.
D) Neither of these. - answer-B) Both of these.
Bruce is affiliated with Dream Homes Realty and just listed a nice ranch style home for sale. He is also
working with a buyer who has been looking for a similar property. How can Bruce stay in compliance with
Commission rules and show this new listing to the buyer?
A) Bruce must obtain disclosure and consent from the seller.
B) Bruce must obtain disclosure and consent from both the buyer and the seller.
C) Bruce does not need disclosure and consent from either one of them until they go under contract.
,D) Bruce must obtain disclosure and consent from the buyer. - answer-B) Bruce must obtain disclosure
and consent from both the buyer and the seller.
Eddie is a seller who has an agency agreement signed with a local real estate firm. The firm has a buyer that
would potentially like to see the seller's home. According to the North Carolina Association of REALTORS®
Form 101, Exclusive Right to Sell Listing Agreement, what does Eddie need to understand about dual
agency?
A) The firm is required by law to disclose to seller and buyer any known or reasonably ascertainable
material facts.
B) Both of these.
C) Prior to the time dual agency occurs, the firm will act as seller's exclusive agent.
D) Neither of these. - answer-B) Both of these.
Ethan is affiliated with Dream Homes Realty and meets with a buyer, Andrew, to discuss working together.
Ethan is explaining the agency options available to Andrew. When explaining dual agency, what does
Andrew need to understand MOST about the dual agency option?
A) Andrew needs to understand that there is no conflict of interest between the buyer and the seller.
B) Andrew needs to understand that there is an inherent conflict of interest between the buyer and
the seller.
C) Andrew needs to understand that he will be getting full representation and the seller will be getting
full representation.
D) Andrew needs to understand that neither the buyer nor the seller will be getting any
representation.
- answer-B) Andrew needs to understand that there is an inherent conflict of interest between the buyer
and the seller.
Bailee is hiring a firm to represent her and has agreed to designated agency. Which of the following
statements is TRUE?
A) Designated agency is where one firm and only one agent within that firm is representing both the
interests of the buyer and the seller.
B) Designated agency is a form of exclusive agency; there is one firm representing the buyer and a
different firm representing the seller.
C) Designated agency has the effect of restoring the ability of the designated agents working with the
seller and the buyer to fully advise their clients and advocate for their client's interests.
D) Designated agency is a form of dual agency where each of the firm's principals must remain neutral
in the transaction. - answer-C) Designated agency has the effect of restoring the ability of the designated
agents working with the seller and the buyer to fully advise their clients and advocate for their client's
interests.
Theo and his firm have been working with a buyer-client for several weeks and have not found the right
property yet. Theo recently listed a property for sale that meets the buyer's requirements. If both the buyer
and seller agreed to dual and designated agency, which of the following statements would be TRUE?
A) Theo is not allowed to act in dual agency in this situation and the broker-in-charge will need to
reassign the listing to another agent in the firm.
B) Theo can work with both the buyer and the seller and remain in dual agency.
C) Theo could act as a designated agent for both the buyer and the seller.
D) Theo would need to refer the buyer to a different firm and then he can represent the interests of
the seller only. - answer-B) Theo can work with both the buyer and the seller and remain in dual agency.
,Kate is a buyer who has an agency agreement signed with a local real estate firm and is looking at a property
listed by the same firm. According to the North Carolina Association of REALTORS® Form 201, Exclusive
Buyer Agency Agreement, Kate needs to understand about dual agency. Which of the statements is FALSE?
A) That the firm shall make every reasonable effort to encourage the seller to negotiate a lower price
for the buyer.
B) That the firm serves as agent for both buyer and seller in a transaction.
C) That the firm shall make every reasonable effort to represent buyer and seller in a balanced and fair
manner.
D) That the firm shall make every reasonable effort to encourage and effect communication
negotiations between buyer and seller. - answer-A) That the firm shall make every reasonable effort to
encourage the seller to negotiate a lower price for the buyer.
Joe is a W-2 employee of a real estate firm who manages income-producing properties for others. Which of
the following activities would Joe NOT be allowed to perform?
A) Showing the rental units
B) Collect rents and deposits
C) Complete preprinted lease agreements
D) Negotiate lease terms - answer-D) Negotiate lease terms
Taylor is meeting with the property owner to complete the North Carolina Association of REALTORS® (NCAR)
Form 401, Exclusive Property Management Agreement, with her firm's client. How is the provision for
marketing BEST described?
A) The property management firm determines all forms of marketing; it is the reason why the client
hired the firm.
B) Since the client is responsible for payment of all marketing and advertising, they handle this
themselves outside the property management agreement.
C) The client authorizes the use of signage, listing service, non-internet, and internet advertising.
D) Residential property management does not have a need to market rental properties. - answer-C)
The client authorizes the use of signage, listing service, non-internet, and internet advertising.
Quay owns an office building and is hiring Triple A Realty to manage his building. What is the first thing that
Triple A Realty must do when preparing to manage the building?
A) Create marketing and advertising
B) Sign a property management agreement
C) Develop a comprehensive management plan
D) Create rules and regulations - answer-C) Develop a comprehensive management plan
Best Property Management Realty hired Felix, an unlicensed assistant, to help with some of the firm's
responsibilities to the property owners they are representing. Which of the following activities would Felix
NOT be allowed to perform?
A) Act as courier to deliver and pick up documents
B) Place "for rent" sign on the properties
C) Schedule appointments for showing the rental units
D) Agree to reduce the rental rate for a prospective tenant - answer-D) Agree to reduce the rental rate
for a prospective tenant
, Laird owns several single-family homes and duplexes near the local college and has hired Perry and his firm
to manage these properties. Which of the following statements is TRUE?
A) Since Perry is not the owner of the property, he does not need to comply with either law.
B) Perry needs to comply with both laws.
C) Perry needs to comply with the Tenant Security Deposit Act.
D) Perry needs to comply with the Residential Rental Agreements Act. - answer-B) Perry needs to
comply with both laws.
Tania is creating an annual operating budget for a property with 50 units. What would be the effective gross
income based on the following information: 30 units rent for $2,500, 15 units rent for $3,000, and 5 units
rent for $4,000; vacancy and collection losses are 7%?
A) $1,562,400
B) $117,600
C) $1,680,000
D) $130,200 - answer-A) $1,562,400
Farah is meeting with a real estate firm to discuss hiring them to manage her rental properties. Farah and
the firm have verbally agreed to all the terms of the agency agreement and the firm begins working on her
behalf. They agree to meet in two weeks to sign the written agreement. Which of the following statements
is TRUE?
A) Farah can agree to an oral agency agreement until the firm secures the first tenant.
B) Farah must have her agency agreement in writing from the beginning of her relationship with the
firm but she has a mandatory three-day right of recession.
C) Farah must have her agency agreement in writing from the very beginning of her relationship with
the firm.
D) Farah can enter into an oral agency agreement with the firm for up to 14 days and then it must be
reduced to writing. - answer-C) Farah must have her agency agreement in writing from the very beginning of
her relationship with the firm.
Bonita is affiliated with Owner's Choice Realty who manages residential properties. Bonita is meeting with a
client and will complete the North Carolina Association of REALTORS® (NCAR) Form 401, Exclusive Property
Management Agreement. The provision regarding the duration of the agreement indicates which of the
following?
A) The duration of the agreement must have an effective date and can be open ended.
B) The duration of the agreement must be for a minimum of one year and then can convert to a
month- to-month agreement.
C) The duration of the agreement must have an effective date and a termination date.
D) The duration of the agreement must have an effective date, termination date, and can allow for an
automatic renewal. - answer-D) The duration of the agreement must have an effective date, termination
date, and can allow for an automatic renewal.
Devesh is meeting with his property management firm to discuss his annual operating budget. The firm has
determined that the gross potential rental income is $1,695,000, the vacancy and collection losses are 6%,
the operating expenses are $585,000, and debt service is $897,000. What would the firm calculate the
before tax cash flow to be?
A) $213,000
B) $111,300
C) $696,300
D) $1,008,300 - answer-B) $111,300
