Indiana Real Estate Broker Exam Practice Test Questions With Correct Answers

Indiana Real Estate Broker Exam Practice Test
Questions With Correct Answers

A |____ |is |an |amount |of |money |tacked |on |to |the |monthly |loan |payment |on |an |FHA |insured |
loan. |- |CORRECT |ANSWER✔✔-periodic |MIP



Which |of |these |is |covered |under |a |building |property |policy? |- |CORRECT |ANSWER✔✔-
Permanently |attached |carpeting



Which |of |the |following |statements |is |always |true |of |real |estate |sales |transactions? |- |CORRECT |
ANSWER✔✔-An |attorney |can |act |as |an |escrow |agent.



A |legal |document |that |may |be |attached |to |another |legal |document |adding |additional |terms |or
|amending |it |is: |- |CORRECT |ANSWER✔✔-A |rider




Which |of |the |following |business |structures |does |not |grant |limited |liability |protections |to |the |
owners? |- |CORRECT |ANSWER✔✔-General |Partnership



Which |of |the |following |is |unique |to |limited |liability |companies? |- |CORRECT |ANSWER✔✔-
Business |owners |can |choose |how |they |are |to |be |taxed.



Technoprinters |developed |a |new |printer |that |everyone |wants. |The |printer |can |only |use |the |ink
|cartridges |that |they |manufacture. |As |a |result, |people |must |buy |complementary |products |from


|them. |Why |is |this |illegal? |- |CORRECT |ANSWER✔✔-Because |it's |an |example |of |exclusive |deals, |


which |create |a |monopoly.



Sarah |tells |her |client |that |the |Victorian |style |home |she |is |showing |is |the |most |beautiful |
Victorian |house |in |the |city. |What |act |has |Sarah |committed? |- |CORRECT |ANSWER✔✔-Puffing

, In |the |lesson, |Kelo |fought |New |London's |taking |of |her |property, |mostly |on |which |grounds: |- |
CORRECT |ANSWER✔✔-Since |New |London |was |developing |the |property |for |Pfizer, |she |felt |that
|the |property |was |not |for |public |use.




The |government |seized |David's |property. |It |compensated |him |fairly |and |used |the |property |for |
a |military |base. |Was |this |a |legal |taking |of |David's |property? |- |CORRECT |ANSWER✔✔-Yes. |The |
government |compensated |him |and |used |the |property |for |a |legitimate |public |use.



Which |of |the |following |is |NOT |an |example |of |personal |property? |- |CORRECT |ANSWER✔✔-
Garage



What |is |an |attachment? |- |CORRECT |ANSWER✔✔-An |item |attached |to |a |property



What |is |the |major |reason |for |why |property |tends |to |appreciate |over |time? |- |CORRECT |
ANSWER✔✔-Increased |demand



What |area |of |market |information |would |be |ideal |for |getting |the |most |accurate |estimate |of |a |
home's |future |value? |- |CORRECT |ANSWER✔✔-The |neighborhood



In |home |loans, |_____ |is |the |prepaid |interest |used |to |make |up |a |difference |in |the |interest |rate |
charged |and |the |interest |rate |the |lender |requires |to |make |the |loan. |- |CORRECT |ANSWER✔✔-
Discount |point



Which |term |describes |the |process |used |to |recalculate |a |loan |payment |when |the |interest |rate |
changes? |- |CORRECT |ANSWER✔✔-Re-amortization



In |which |circumstance |would |a |cost |approach |be |most |useful? |- |CORRECT |ANSWER✔✔-A |new
|construction |property |in |an |area |with |nearby |available |land