Pearson Vue Property Insurance Exam Practice Questions with Verified Answers 100% Guarantee passing score of 90

Pearson Vue Property Insurance Examss ss ss ss ss




Practice Questions with Verified Answers
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100% Guarantee passing score of 90% or higher
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Consist of 80 multichoice Questions with Answers
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1. 1A buyer purchases a furnished condominimum apartment as an
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invest-
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ment. The document that evidences the buyer's ownership of the
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ss furniture is a ss ss




a. Special warranty deed ss ss




b. Homeowner's insurance policy ss ss




c. Bill of sale
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d. Buyers inventory ss




Answer Bill of sale ss ss ss




2. Using the cost approach, an f calculates the current new
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ss replacement cost of a 15 year old structure. The next factor the
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ss appraiser will consider n completing this approach is:
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a. Land value ss




b. Capitalization rate ss




c. Net operating income
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,d. Accrued depreciation ss




Answer Accrued depreciation ss ss




3. A buyer purchases a home for $55,000 and gets a commitment from a
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lender for an 80% loan. The lender has advised the buyer that 3
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ss discount points will be charged. If additional closing costs are $2,000,
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how much total cash MUST the buyer have at closing?
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a. 1300
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b. 13200
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c. 14320
ss




d. 15650
ss




Answer 14320 ss




4. Any referral of a settlement service provider for compensation is
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a. Only allowed on federally funded transaction
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b. Allowed when fully disclosed ss ss ss




c. Always prohibited ss




d. Only prohibited on federally funded transaction
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Answer Always prohibited ss ss




5. A licensee is commingling trust funds by depositing:
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a. Earnest monies received from a clients properties in the agency's
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ss business account ss




b. Earnest monies and rents received from a client's various properties
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ss in the same escrow/trust account
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,c. Rents received from the licensee's own properties in a personal
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ss account
d. Tenants security depositites received from various clients properties in
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ss the same escrow/trust account.
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Answer Earnest monies received from a clients properties
ss ss ss ss ss ss ss ss in the agency's
ss ss




ss business account ss




6. A lease calls for a commercial tenant to pay a guaranteed rental of
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ss $1,775 per month plus 6.5% of the gross income in excess of $325,000
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per year. If the yearly gross income is $785,000, what is the annual
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ss rent?
a. 51025
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b. 51200
ss




c. 52800
ss




d. 72325
ss




Answer 51200 ss




7. The lease of a restaurant terminates and the tenant wishes to move
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ss to another location. Which of the following items can the tenant remove
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from the restaurant as trade fixtures?
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a. Sprinkler system ss




b. Radiators
c. Built-in dishwasher ss




d. Recessed ceiling lighting ss ss




Answer Built-in dishwasher ss ss




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, 8. A buyer's interest in real property, acquired at the moment the seller and
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ss the buyer enter into a sales contract, is known as:
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a. Legal title ss




b. Equitable title ss




c. Fee simple determinable
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d. An option to purchase
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Answer Equitable title
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9. K owns and operates a small restaurant in an area recently annexed
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ss by a nearby city. As part of the annexation, the area was zoned for
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ss single-family s s residence, but K is allowed to continue operating the
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ss restaurant under the city's amended zoning ordinance. The allowance
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ss for K's continued operation
ss ss ss s s is known as:
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a. Variance
b. Spot zoning ss




c. Conditional use ss




d. Nonconforming use ss




Answer Nonconforming use
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10. An unintentional or negligent misrepresentation would BEST be
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ss described as: ss




a. Tortious action ss




b. Puffing
c. Constructive fraud ss




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