FREC PRACTICE TEST WITH FULL
PACK SOLUTIONS
1. kWhich kof kthe kfollowing kstatements kis ktrue kregarding ka kmortgage kloan
koriginator k(MLO)?
a. kA kmortgage kloan koriginator kis kthe ksame kas ka kmortgage kbroker.
b. kA kmortgage kloan koriginator kmust khave ka kseparate klicense.
c. kA kmortgage kloan koriginator kmakes kloans.
d. kA kmortgage kloan koriginator kmust khave ka kreal kestate klicense. k- kcorrect
kanswers k-B
2. kA kreal kestate kappraiser's kfee kfor kprofessional kservice kis kbased kon kwhich kof
kthe kfollowing?
a. kA kpercentage kof kthe kproperty's kgross kincome.
b. kA kpercentage kof kthe kfair kmarket kvalue kof kthe kproperty.
c. kThe ktime kand kdifficulty kof kthe kappraisal.
d. kA kpercentage kof kthe kproperty's ksales kprice. k- kcorrect kanswers k-C
,3. kWhich kof kthe kfollowing kbest kdescribes kthe kreal kestate kbrokerage kbusiness?
a. kService kbusiness
b. kSimple kbusiness
c. kBusiness kwith kfew kopportunities kavailable
d. kConstruction kbusiness k- kcorrect kanswers k-A
4. kAll kof kthe kfollowing kare kresponsibilities kof ka kproperty kmanager, kEXCEPT:
a. kRenting kproperty kfor kan kabsentee kowner.
b. kCollecting krent.
c. kOverseeing kmaintenance.
d. kPreparing kleases k- kcorrect kanswers k-D
5. kWhat kdoes kthe kterm k"farming" krefer kto kin kreal kestate?
a. kSpecializing kin kone kgeographic karea
b. kWorking kin ka kcooperative kmanner
c. kSpecializing kin kagricultural kproperties
d. kSpecializing kin kthe ksales kof korange kgroves kor kcattle kfarms k- kcorrect kanswers
k-A
6. kWhich kinsurance kpolicies kcan ka kreal kestate klicensee koffer kto kthe kpublic
kwithout kadditional kstate klicensing?
a. kFlood kinsurance
b. kFire kinsurance
c. kRenter's kinsurance
d. kNone kof kthe kabove k- kcorrect kanswers k-D
7. kWhat kis kthe kpurpose kof kthe kNational kAssociation kof kREALTORS?
a. kPreserve kthe kright kof kindividuals kto kown kreal kproperty kthrough kan kexchange kof
kinformation.
b. kOrganize kantigovernment kactivities.
c. kPromote kunethical kpractice kof kreal kestate kprofessionals.
d. kPromote kunethical kpractice kof kreal kestate kprofessionals. k- kcorrect kanswers k-A
8. kWhat kdoes kthe kdesignation kof kREALTOR® ksignify?
a. kAnyone kin kpossession kof ka kreal kestate klicense kis ka kREALTOR®
b. kThe kdesignation kidentifies kthe kreal kestate kprofessional kas ka kmember kof kthe
kNAR.
c. kThe kdesignation kis kevidence kthat kthe klicensee khas kan kextensive kbackground
kin kthe kreal kestate kprofession.
d. kThe kdesignation kis kevidence kthat kthe klicensee khas kcompleted kextensive kreal
kestate kstudies. k- kcorrect kanswers k-B
9. kA kdeveloper kcontracts kto kbuild ka khome kaccording kto kthe kbuyer's kspecifications.
kThis kis kan kexample kof kwhich ktype kof kbuilding?
a. kTract
, b. kCustom
c. kSpeculative
d. kSubdivision k- kcorrect kanswers k-B
10. kWhich kof kthe kfollowing kbest kdescribes klicensees kwho kare kinvolved kin
kbusiness kbrokerage?
a. kThey kmust kbe kable kto kanalyze kfinancial kstatements kand kunderstand kbalance
ksheets.
b. kThey kare knot krequired kto kknow kmuch kabout kthe kbusiness kthey kare kselling.
c. kThey kmust khave ka kseparate klicense.
d. kThey knever kbecome kinvolved kin kthe ktax kaspects kof kthe kbusiness. k- kcorrect
kanswers k-A
11. kReal kestate klicensees kare krequired kto kbe kknowledgeable kin kall kof kthe
kfollowing kareas, kEXCEPT:
a. kMarketing
b. kValuation
c. kProperty ktransfer
d. kAccounting k- kcorrect kanswers k-D
12. kWhich kservice kprovided kby kreal kestate klicensees krequires kthe kmost
kexperience kand kknowledge?
a. kProperty kmanagement
b. kCounseling
c. kAppraising
d. kAgricultural ksales k- kcorrect kanswers k-B
13. kAn kappraiser kwho kis kregistered, klicensed, kor kcertified kunder kF.S. k475 kPart kII,
kmust kbe kutilized kin kwhich kof kthe kfollowing?
a. kAll kappraisals
b. kThe kappraisal kof kresidential kproperty
c. kThe kappraisal kof knonresidential kproperty
d. kFederally-related ktransactions k- kcorrect kanswers k-D
14. kWhen ka kdeveloper kcompletes kconstruction kof ka knew ksubdivision, kall kstreets,
kelectric, kwater, kand ksewer kinstallation kare kfinished kand kdeeded kto kthe kcity kor
kcounty. kWhat kis kthis kprocess kcalled?
a. kA kquit kclaim kdeed
b. kAn keasement
c. kDedication
d. kAnnexation k- kcorrect kanswers k-C
15. kWhich kof kthe kfollowing kassignments kwould kbe kacceptable kfor ka kFlorida kreal
kestate klicensee kwho kdoes knot krepresent kthemselves kas kan kappraiser, kand
kfollows kthe kuniform kstandards kof kprofessional kappraisal kpractice k(USPAP)?
PACK SOLUTIONS
1. kWhich kof kthe kfollowing kstatements kis ktrue kregarding ka kmortgage kloan
koriginator k(MLO)?
a. kA kmortgage kloan koriginator kis kthe ksame kas ka kmortgage kbroker.
b. kA kmortgage kloan koriginator kmust khave ka kseparate klicense.
c. kA kmortgage kloan koriginator kmakes kloans.
d. kA kmortgage kloan koriginator kmust khave ka kreal kestate klicense. k- kcorrect
kanswers k-B
2. kA kreal kestate kappraiser's kfee kfor kprofessional kservice kis kbased kon kwhich kof
kthe kfollowing?
a. kA kpercentage kof kthe kproperty's kgross kincome.
b. kA kpercentage kof kthe kfair kmarket kvalue kof kthe kproperty.
c. kThe ktime kand kdifficulty kof kthe kappraisal.
d. kA kpercentage kof kthe kproperty's ksales kprice. k- kcorrect kanswers k-C
,3. kWhich kof kthe kfollowing kbest kdescribes kthe kreal kestate kbrokerage kbusiness?
a. kService kbusiness
b. kSimple kbusiness
c. kBusiness kwith kfew kopportunities kavailable
d. kConstruction kbusiness k- kcorrect kanswers k-A
4. kAll kof kthe kfollowing kare kresponsibilities kof ka kproperty kmanager, kEXCEPT:
a. kRenting kproperty kfor kan kabsentee kowner.
b. kCollecting krent.
c. kOverseeing kmaintenance.
d. kPreparing kleases k- kcorrect kanswers k-D
5. kWhat kdoes kthe kterm k"farming" krefer kto kin kreal kestate?
a. kSpecializing kin kone kgeographic karea
b. kWorking kin ka kcooperative kmanner
c. kSpecializing kin kagricultural kproperties
d. kSpecializing kin kthe ksales kof korange kgroves kor kcattle kfarms k- kcorrect kanswers
k-A
6. kWhich kinsurance kpolicies kcan ka kreal kestate klicensee koffer kto kthe kpublic
kwithout kadditional kstate klicensing?
a. kFlood kinsurance
b. kFire kinsurance
c. kRenter's kinsurance
d. kNone kof kthe kabove k- kcorrect kanswers k-D
7. kWhat kis kthe kpurpose kof kthe kNational kAssociation kof kREALTORS?
a. kPreserve kthe kright kof kindividuals kto kown kreal kproperty kthrough kan kexchange kof
kinformation.
b. kOrganize kantigovernment kactivities.
c. kPromote kunethical kpractice kof kreal kestate kprofessionals.
d. kPromote kunethical kpractice kof kreal kestate kprofessionals. k- kcorrect kanswers k-A
8. kWhat kdoes kthe kdesignation kof kREALTOR® ksignify?
a. kAnyone kin kpossession kof ka kreal kestate klicense kis ka kREALTOR®
b. kThe kdesignation kidentifies kthe kreal kestate kprofessional kas ka kmember kof kthe
kNAR.
c. kThe kdesignation kis kevidence kthat kthe klicensee khas kan kextensive kbackground
kin kthe kreal kestate kprofession.
d. kThe kdesignation kis kevidence kthat kthe klicensee khas kcompleted kextensive kreal
kestate kstudies. k- kcorrect kanswers k-B
9. kA kdeveloper kcontracts kto kbuild ka khome kaccording kto kthe kbuyer's kspecifications.
kThis kis kan kexample kof kwhich ktype kof kbuilding?
a. kTract
, b. kCustom
c. kSpeculative
d. kSubdivision k- kcorrect kanswers k-B
10. kWhich kof kthe kfollowing kbest kdescribes klicensees kwho kare kinvolved kin
kbusiness kbrokerage?
a. kThey kmust kbe kable kto kanalyze kfinancial kstatements kand kunderstand kbalance
ksheets.
b. kThey kare knot krequired kto kknow kmuch kabout kthe kbusiness kthey kare kselling.
c. kThey kmust khave ka kseparate klicense.
d. kThey knever kbecome kinvolved kin kthe ktax kaspects kof kthe kbusiness. k- kcorrect
kanswers k-A
11. kReal kestate klicensees kare krequired kto kbe kknowledgeable kin kall kof kthe
kfollowing kareas, kEXCEPT:
a. kMarketing
b. kValuation
c. kProperty ktransfer
d. kAccounting k- kcorrect kanswers k-D
12. kWhich kservice kprovided kby kreal kestate klicensees krequires kthe kmost
kexperience kand kknowledge?
a. kProperty kmanagement
b. kCounseling
c. kAppraising
d. kAgricultural ksales k- kcorrect kanswers k-B
13. kAn kappraiser kwho kis kregistered, klicensed, kor kcertified kunder kF.S. k475 kPart kII,
kmust kbe kutilized kin kwhich kof kthe kfollowing?
a. kAll kappraisals
b. kThe kappraisal kof kresidential kproperty
c. kThe kappraisal kof knonresidential kproperty
d. kFederally-related ktransactions k- kcorrect kanswers k-D
14. kWhen ka kdeveloper kcompletes kconstruction kof ka knew ksubdivision, kall kstreets,
kelectric, kwater, kand ksewer kinstallation kare kfinished kand kdeeded kto kthe kcity kor
kcounty. kWhat kis kthis kprocess kcalled?
a. kA kquit kclaim kdeed
b. kAn keasement
c. kDedication
d. kAnnexation k- kcorrect kanswers k-C
15. kWhich kof kthe kfollowing kassignments kwould kbe kacceptable kfor ka kFlorida kreal
kestate klicensee kwho kdoes knot krepresent kthemselves kas kan kappraiser, kand
kfollows kthe kuniform kstandards kof kprofessional kappraisal kpractice k(USPAP)?