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Rockwell Real Estate Exam 1 Questions and Correct
Answers/ Latest Update / Already Graded
A licensee locates what seems like a ready, willing, and able buyer. However, the
deal falls through at closing because the buyer can't obtain necessary financing. At
the same time, though, the seller turns out to be unable to provide marketable
title. Does the seller still owe a commission to the listing agent in this case?
A. No, because the sale didn't close
B. No, because there was no ready, willing, and able buyer
C. Yes, because the licensee saw the transaction through to the closing date
D. Yes, because the seller has an absolute duty to provide marketable title at
closing
Ans: B. No, because there was no ready, willing, and able buyer
Buyer Bob and Seller Sam decide to wait until Sam's listing agreement with XYZ
Real Estate has expired, to avoid paying a commission. Does the listing agent have
any legal recourse?
A. Yes, the listing agent can pursue criminal charges
B. Yes, the listing agent can sue Bob under the listing agreement
C. Yes, the listing agent can sue Sam under the listing agreement
D. No, the listing agent has no further recourse
Ans: D. No, the listing agent has no further recourse
© 2025/ 2026 | ® All rights reserved
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Bronson agreed to sell his house to the Hatchers. Closing is scheduled for May
15. Bronson already paid the taxes for the entire year, but the Hatchers are
assuming responsibility for the taxes as of the closing date. The settlement
statement will prorate the taxes as a:
A. credit to the buyer, and debit to the seller
B. debit to the buyer, and credit to the seller
C. debit to the seller
D. credit to the buyer
Ans: B. debit to the buyer, and credit to the seller
To be entitled to sue for a commission, a person must be able to prove that at
the time the real estate activities were performed, she:
A. was licensed
B. had passed the real estate exam
C. had at least a verbal promise of compensation
D. was under the supervision of a mentor
Ans: A. was licensed
Q falls behind on his child support payments. The matter is forwarded to the
Director of the Department of Licensing. What action is available to the
Director? She can:
A. suspend Q's license
© 2025/ 2026 | ® All rights reserved
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B. revoke Q's license
C. fine Q up to $5,000
D. issue a cease and desist order
Ans: A. suspend Q's license
A legal action brought in court to compel a party to fulfill the terms of a contract
because the land is unique and money damages would not adequately compensate
the party victimized by a breach is called a/an:
A. partition action
B. suit for specific performance
C. quiet title action
D. injunction
Ans: B. suit for specific performance
An appraiser needs to be state-certified to perform which of the following
appraisals?
A. Appraisal of a residence valued at $200,000
B. Appraisal of a residence valued at $500,000
C. Appraisal related to a loan that will be issued by a federally insured lender
D. Appraisal related to an FHA loan
Ans: D. Appraisal related to an FHA loan
© 2025/ 2026 | ® All rights reserved
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Which of the following actions by a developer would require a zoning variance or
a rezone, because it would result in a more intensive use of the land?
A. Deed restriction prohibiting further subdivision of individual lots
B. Deed restriction prohibiting painting houses non-earth-tone colors
C. Fewer outbuildings placed on each lot than allowed by law
D. Increase in number of lots per acre
Ans: D. Increase in number of lots per acre
On a settlement statement, an earnest money deposit that will be held by the
brokerage firm until closing is a:
A. credit to the buyer
B. credit to the seller
C. debit (charge) to the buyer
D. debit (charge) to the seller
Ans: A. credit to the buyer
A licensee would not be disciplined for:
A. accepting compensation from both parties to a transaction without a written
disclosure
B. failing to adequately supervise an employee who misrepresents a property to a
prospect
© 2025/ 2026 | ® All rights reserved
Rockwell Real Estate Exam 1 Questions and Correct
Answers/ Latest Update / Already Graded
A licensee locates what seems like a ready, willing, and able buyer. However, the
deal falls through at closing because the buyer can't obtain necessary financing. At
the same time, though, the seller turns out to be unable to provide marketable
title. Does the seller still owe a commission to the listing agent in this case?
A. No, because the sale didn't close
B. No, because there was no ready, willing, and able buyer
C. Yes, because the licensee saw the transaction through to the closing date
D. Yes, because the seller has an absolute duty to provide marketable title at
closing
Ans: B. No, because there was no ready, willing, and able buyer
Buyer Bob and Seller Sam decide to wait until Sam's listing agreement with XYZ
Real Estate has expired, to avoid paying a commission. Does the listing agent have
any legal recourse?
A. Yes, the listing agent can pursue criminal charges
B. Yes, the listing agent can sue Bob under the listing agreement
C. Yes, the listing agent can sue Sam under the listing agreement
D. No, the listing agent has no further recourse
Ans: D. No, the listing agent has no further recourse
© 2025/ 2026 | ® All rights reserved
, 2 | Page
Bronson agreed to sell his house to the Hatchers. Closing is scheduled for May
15. Bronson already paid the taxes for the entire year, but the Hatchers are
assuming responsibility for the taxes as of the closing date. The settlement
statement will prorate the taxes as a:
A. credit to the buyer, and debit to the seller
B. debit to the buyer, and credit to the seller
C. debit to the seller
D. credit to the buyer
Ans: B. debit to the buyer, and credit to the seller
To be entitled to sue for a commission, a person must be able to prove that at
the time the real estate activities were performed, she:
A. was licensed
B. had passed the real estate exam
C. had at least a verbal promise of compensation
D. was under the supervision of a mentor
Ans: A. was licensed
Q falls behind on his child support payments. The matter is forwarded to the
Director of the Department of Licensing. What action is available to the
Director? She can:
A. suspend Q's license
© 2025/ 2026 | ® All rights reserved
, 3 | Page
B. revoke Q's license
C. fine Q up to $5,000
D. issue a cease and desist order
Ans: A. suspend Q's license
A legal action brought in court to compel a party to fulfill the terms of a contract
because the land is unique and money damages would not adequately compensate
the party victimized by a breach is called a/an:
A. partition action
B. suit for specific performance
C. quiet title action
D. injunction
Ans: B. suit for specific performance
An appraiser needs to be state-certified to perform which of the following
appraisals?
A. Appraisal of a residence valued at $200,000
B. Appraisal of a residence valued at $500,000
C. Appraisal related to a loan that will be issued by a federally insured lender
D. Appraisal related to an FHA loan
Ans: D. Appraisal related to an FHA loan
© 2025/ 2026 | ® All rights reserved
, 4 | Page
Which of the following actions by a developer would require a zoning variance or
a rezone, because it would result in a more intensive use of the land?
A. Deed restriction prohibiting further subdivision of individual lots
B. Deed restriction prohibiting painting houses non-earth-tone colors
C. Fewer outbuildings placed on each lot than allowed by law
D. Increase in number of lots per acre
Ans: D. Increase in number of lots per acre
On a settlement statement, an earnest money deposit that will be held by the
brokerage firm until closing is a:
A. credit to the buyer
B. credit to the seller
C. debit (charge) to the buyer
D. debit (charge) to the seller
Ans: A. credit to the buyer
A licensee would not be disciplined for:
A. accepting compensation from both parties to a transaction without a written
disclosure
B. failing to adequately supervise an employee who misrepresents a property to a
prospect
© 2025/ 2026 | ® All rights reserved
