RESIDENTIAL BUILDER'S SALESPERSON PRACTICE EXAM QUESTIONS AND CORRECT VERIFIED ANSWERS

RESIDENTIAL BUILDER'S SALESPERSON
PRACTICE EXAM QUESTIONS AND
CORRECT VERIFIED ANSWERS
InA2aA2typicalA2constructionA2loan,A2theA2interestA2rateA2isA2lockedA2forA2theA2entireA2termA2
ofA2theA2loan.A2-A2Ans--True

BothA2companyA2overheadA2andA2projectA2overheadA2shouldA2beA2accountedA2forA2inA2aA2
projectsA2estimate.A2-A2Ans--True

SalespeopleA2shallA2notA2beginA2sellingA2untilA2theyA2receiveA2theirA2licenseA2andA2pocket
A2IDA2card.A2-A2Ans--True


AA2materialA2breachA2ofA2contractA2isA2theA2mostA2seriousA2ofA2contractA2breaches.A2-
A2Ans--True


IfA2aA2saleA2wasA2initiatedA2andA2completedA2byA2aA2salespersonA2atA2aA2person'sA2home,
A2theA2customerA2hasA2aA2rightA2toA2cancelA2thatA2contractA2withinA2__________days. A2-
A2Ans--3


IfA2aA2contractA2isA2negotiatedA2onA2theA2premiseA2ofA2priceA2perA2squareA2footA2ofA2materi
alA2installed,A2thisA2wouldA2beA2aA2____________A2-A2Ans--UnitA2PriceA2contract

CostsA2thatA2aA2contractorA2incursA2suchA2asA2administrativeA2costsA2toA2serviceA2theA2pro
jectA2whileA2underA2constructionA2areA2calledA2_________A2-A2Ans--CompanyA2Overhead

CompanyA2overheadA2canA2includeA2-A2Ans--
OfficeA2expenses,A2facilityA2maintenanceA2expense,A2electricalA2expenses

AA2completeA2listA2ofA2allA2ofA2theA2materialsA2andA2itemsA2ofA2workA2thatA2wouldA2beA2req
uiredA2toA2completeA2aA2projectA2areA2____A2-A2Ans--QuantityA2surveyA2(takeA2off)

CanA2anA2unlicensedA2contractorA2whoA2isA2requiredA2toA2beA2licensedA2imposeA2aA2lienA2
againstA2aA2homeowner?A2-A2Ans--No

PublicA2ActA2299A2providesA2forA2licensingA2andA2theA2rightA2toA2engageA2inA2businessA2as
A2_______A2-A2Ans--AA2salesperson,A2residentialA2builder,A2andA2M&AA2contractor


IfA2aA2salespersonA2doesn'tA2intendA2toA2renewA2theirA2licenseA2afterA2itA2hasA2expired,A2d
oA2theyA2haveA2toA2returnA2itA2toA2theA2Department?A2-A2Ans--Yes

TypicallyA2____________________A2areA2hiredA2byA2mortgageA2companiesA2andA2lender
sA2toA2representA2theirA2interestA2inA2closingA2aA2loan.A2-A2Ans--TitleA2Companies

, AnA2explicitA2warrantyA2madeA2byA2aA2manufacturerA2orA2sellerA2isA2anA2ImpliedA2Warrant
yA2-A2Ans--False

IfA2aA2customerA2isA2listedA2onA2theA2NationalA2Do-Not-
CallA2Registry,A2butA2thereA2isA2anA2establishedA2businessA2relationship,A2aA2sellerA2canA2
stillA2callA2withinA2_____________A2monthsA2ofA2theA2consumersA2lastA2purchase,A2delive
ryA2orA2payment.A2-A2Ans--18

IfA2aA2contractA2isA2aA2lumpA2sumA2agreement,A2thatA2meansA2everyA2dollarA2overA2budget
A2meansA2aA2dollarA2inA2yourA2pocket.A2-A2Ans--False


AA2lineA2onA2aA2blueprintA2drawingA2withA2aA2scaleA2ofA21/4"A2perA2footA2willA2-A2Ans--
BeA2longerA2thanA2theA2lineA2onA2aA2printA2withA2aA2scaleA2ofA21/8"

ContractorsA2convictedA2ofA2fraudulentA2useA2ofA2contractA2fundsA2areA2guiltyA2ofA2aA2___
__A2-A2Ans--Felony

IfA2aA2homeownerA2intendsA2toA2constructA2aA2300A2squareA2footA2shedA2onA2theirA2ownA2
property,A2mustA2theyA2applyA2forA2aA2permit?A2-A2Ans--Yes

CostsA2thatA2areA2incurredA2byA2aA2contractorA2thatA2doA2notA2directlyA2relateA2toA2producti
on,A2suchA2asA2theA2costA2incurredA2forA2insuringA2theA2project,A2areA2calledA2__________
_A2-A2Ans--ProjectA2Overhead

IndirectA2laborA2costs,A2suchA2asA2employeeA2healthA2insurance,A2workerA2compensationA
2insuranceA2andA2matchingA2ofA2theA2employeesA2SocialA2SecurityA2andA2MedicareA2contr
ibution,A2isA2sometimesA2referredA2toA2asA2_______A2-A2Ans--LaborA2Burden

AA2homeownerA2whoA2refusedA2toA2sellA2aA2homeA2toA2someoneA2basedA2onA2theA2factA2t
hatA2theA2buyerA2hasA2childrenA2isA2inA2violationA2ofA2theA2MichiganA2________________
_A2-A2Ans--FairA2HousingA2Act

HowA2manyA2daysA2doesA2aA2personA2haveA2fromA2theA2receiptA2ofA2aA2complaintA2toA2res
pond?A2-A2Ans--15A2Days

WithoutA2________________,A2customersA2don'tA2legallyA2haveA2toA2obligeA2yourA2reque
stA2becauseA2youA2didn'tA2getA2theirA2approvalA2forA2theseA2additionalA2costs.A2-A2Ans--
ChangeA2Orders

WhenA2addingA2profitA2toA2anA2estimate,A2theA2valueA2isA2usuallyA2_________________A2
-A2Ans--AA2percentageA2ofA2theA2totalA2jobA2cost

NoA2oneA2mayA2takeA2anyA2ofA2theA2followingA2actionsA2basedA2onA2race,A2color,A2national
A2origin,A2religion,A2sex,A2familialA2statusA2orA2handicapA2-A2Ans--