CAIB 4 TEST 2026 VERIFIED QUESTIONS
AND ANSWERS CERTIFICATION
PREPARATION
◉ What are the considerations when evaluating operating
affiliations
Answer: services and support, exclusivity, fees, contractual
agreement, financial strength
◉ What is the law of agency
Answer: when one entity acts on behalf of another
◉ 6 activities with human resources management function
Answer: planning, selecting, orienting, training, developing &
rewarding, managing performance
◉ the 3 steps in the selection process of new employees
Answer: recruitment, screening and interviewing, hiring
◉ 4 advantages of hiring within
,Answer: cost effective, shorter vacancy, takes guesswork out of
hiring, reduces turnover
◉ 5 components of screening process
Answer: application, resume, interview, testing, reference checks
◉ most critical component of the orientation process
Answer: the explanation of performance expectations
◉ 4 kinds of training programs recommended for brokerages
Answer: quality service training, sales training, product and service
knowledge, leadership training
◉ 4 elements of the training program
Answer: who, what, why, how
◉ how does a career path relate to an employee's development
within brokerage
Answer: it shows the employee how they may progress from one
position to another and what kinds of skills and education will be
required in order to progress
◉ 6 components of leadership
, Answer: delegating, motivating, communication, managing conflict,
managing change, coaching
◉ key factor of effective delegation
Answer: communication is the key factor of delegation
◉ 2 reasons why delegation breaks down
Answer: when the balance between responsibility and authority is
not maintained and when communication between the parties is not
clear
◉ non verbal communication
Answer: need to consider not only what you say but how you say it
◉ body language
Answer: others may interpret words differently if body language,
gestures, mannerisms are not supporting the words
◉ active listening
Answer: ability to read between the lines, asks questions to seek
clarification
◉ how managers can promote open communication
AND ANSWERS CERTIFICATION
PREPARATION
◉ What are the considerations when evaluating operating
affiliations
Answer: services and support, exclusivity, fees, contractual
agreement, financial strength
◉ What is the law of agency
Answer: when one entity acts on behalf of another
◉ 6 activities with human resources management function
Answer: planning, selecting, orienting, training, developing &
rewarding, managing performance
◉ the 3 steps in the selection process of new employees
Answer: recruitment, screening and interviewing, hiring
◉ 4 advantages of hiring within
,Answer: cost effective, shorter vacancy, takes guesswork out of
hiring, reduces turnover
◉ 5 components of screening process
Answer: application, resume, interview, testing, reference checks
◉ most critical component of the orientation process
Answer: the explanation of performance expectations
◉ 4 kinds of training programs recommended for brokerages
Answer: quality service training, sales training, product and service
knowledge, leadership training
◉ 4 elements of the training program
Answer: who, what, why, how
◉ how does a career path relate to an employee's development
within brokerage
Answer: it shows the employee how they may progress from one
position to another and what kinds of skills and education will be
required in order to progress
◉ 6 components of leadership
, Answer: delegating, motivating, communication, managing conflict,
managing change, coaching
◉ key factor of effective delegation
Answer: communication is the key factor of delegation
◉ 2 reasons why delegation breaks down
Answer: when the balance between responsibility and authority is
not maintained and when communication between the parties is not
clear
◉ non verbal communication
Answer: need to consider not only what you say but how you say it
◉ body language
Answer: others may interpret words differently if body language,
gestures, mannerisms are not supporting the words
◉ active listening
Answer: ability to read between the lines, asks questions to seek
clarification
◉ how managers can promote open communication
