PSI Real Estate Practice
Exam - Michigan (Chapter 1)
questions with verified
solutions 2025-2026(100%
pass)
A person authorized by the broker to act as the agent of a
specific principal - common in dual agency relationships,
two salespersons from the same company can represent
opposite sides of the sale. - answer Designated Agent
What approach does an appraiser take primarily for an
investment property? - answer Income Approach
Charlie is the personal assistant for the top producer in
the office, and he would like to have his own business
cards. What can Charlie list as his title? - answer 1.)
"Personal Assistant" (Answer)
2.) "Agent-Assistant"
3.) "Proxy-Agent"
4.) "Broker-Assignee"
Which of the following is NOT true regarding the
Administrative Rules in Michigan? - answer 1.) They have
the same force and effect as the Code.
2.) They provide additional detail for the administration of
the law.
,3.) They provide guidelines for the real estate licensee.
4.) They have less force and effect than the Code.
(Answer)
The primary purpose of Michigan License Law is to: -
answer 1.) adopt regulations for real estate standards.
2.) protect the public. (Answer)
3.) prosecute unethical brokers.
4.) investigate commission disputes between associates.
In the state of Michigan, you do not need a real estate
license to - answer 1.) sell a home you built as part of your
business.
2.) sell your own property. (Answer)
3.) be a property manager.
4.) auction a home and handle the closing.
For real estate sales to be considered a principal vocation,
a licensee must - answer 1.) engage in a minimum of five
real estate transactions in a 12 month period. (Answer)
2.)perform a minimum of 40 hours per month on floor
time.
3.) file $40,000 or more in commissions on their income
tax return.
4.) become a broker within two years of getting a
salesperson's license.
,The law regulating the licensing of occupations in
Michigan is known as - answer 1.) Occupational Code PA
299 of 1980. (Answer)
2.) Michigan License Act 152 of 1979.
3.) Administrative Rules for Michigan Licensing.
4.) Michigan Code of Ethics.
Which of the following persons would NOT need a real
estate license? - answer 1.) A person who lists real estate
2.) Someone negotiating the exchange of real estate for a
consumer
3.) A person assisting a landlord with real estate activities
4.) An executor of an estate selling property for the
deceased (Answer)
The Department of Licensing and Regulatory Affairs and
the Michigan Board of Real Estate Brokers and
Salespersons work together - answer 1.) to develop
salesperson and broker examinations. (Answer)
2.) to issue and renew licenses.
3.) to interpret license requirements.
4.) only when there is a crisis.
_______________ are policies used by the Department of
Licensing and Regulatory Affairs to interpret and enforce
the Occupational Code. - answer 1.) The NAR Code of
Ethics
2.) The Code of Federal Regulations
3.) The Administrative Code (Answer)
, 4.) The NAR Field Guide
An unlicensed assistant in a real estate office receives a
call from Salesperson Jones, who works for another
company. He wants information about a property. What
can the assistant do? - answer 1.) Discuss the financing
options for the property.
2.) Take his name and have a licensee call him. (Answer)
3.) Say that they are the agent for the property.
4.) Give him whatever information he wants since he's a
member of the real estate community.
Of the total Board members, how many must be licensed
to practice real estate in Michigan? - answer 1.) 0
members
2.) 3 members
3.) 5 members
4.) 6 members (Answer)
Sara Sanders has started working at ABC Realty. Since
Sara does not yet have her real estate license, what
information may she give out? - answer 1.) Information on
financing
2.) Information on the number of bathrooms a listing has
(Answer)
3.) Information on closings
4.) Information on title insurance
Exam - Michigan (Chapter 1)
questions with verified
solutions 2025-2026(100%
pass)
A person authorized by the broker to act as the agent of a
specific principal - common in dual agency relationships,
two salespersons from the same company can represent
opposite sides of the sale. - answer Designated Agent
What approach does an appraiser take primarily for an
investment property? - answer Income Approach
Charlie is the personal assistant for the top producer in
the office, and he would like to have his own business
cards. What can Charlie list as his title? - answer 1.)
"Personal Assistant" (Answer)
2.) "Agent-Assistant"
3.) "Proxy-Agent"
4.) "Broker-Assignee"
Which of the following is NOT true regarding the
Administrative Rules in Michigan? - answer 1.) They have
the same force and effect as the Code.
2.) They provide additional detail for the administration of
the law.
,3.) They provide guidelines for the real estate licensee.
4.) They have less force and effect than the Code.
(Answer)
The primary purpose of Michigan License Law is to: -
answer 1.) adopt regulations for real estate standards.
2.) protect the public. (Answer)
3.) prosecute unethical brokers.
4.) investigate commission disputes between associates.
In the state of Michigan, you do not need a real estate
license to - answer 1.) sell a home you built as part of your
business.
2.) sell your own property. (Answer)
3.) be a property manager.
4.) auction a home and handle the closing.
For real estate sales to be considered a principal vocation,
a licensee must - answer 1.) engage in a minimum of five
real estate transactions in a 12 month period. (Answer)
2.)perform a minimum of 40 hours per month on floor
time.
3.) file $40,000 or more in commissions on their income
tax return.
4.) become a broker within two years of getting a
salesperson's license.
,The law regulating the licensing of occupations in
Michigan is known as - answer 1.) Occupational Code PA
299 of 1980. (Answer)
2.) Michigan License Act 152 of 1979.
3.) Administrative Rules for Michigan Licensing.
4.) Michigan Code of Ethics.
Which of the following persons would NOT need a real
estate license? - answer 1.) A person who lists real estate
2.) Someone negotiating the exchange of real estate for a
consumer
3.) A person assisting a landlord with real estate activities
4.) An executor of an estate selling property for the
deceased (Answer)
The Department of Licensing and Regulatory Affairs and
the Michigan Board of Real Estate Brokers and
Salespersons work together - answer 1.) to develop
salesperson and broker examinations. (Answer)
2.) to issue and renew licenses.
3.) to interpret license requirements.
4.) only when there is a crisis.
_______________ are policies used by the Department of
Licensing and Regulatory Affairs to interpret and enforce
the Occupational Code. - answer 1.) The NAR Code of
Ethics
2.) The Code of Federal Regulations
3.) The Administrative Code (Answer)
, 4.) The NAR Field Guide
An unlicensed assistant in a real estate office receives a
call from Salesperson Jones, who works for another
company. He wants information about a property. What
can the assistant do? - answer 1.) Discuss the financing
options for the property.
2.) Take his name and have a licensee call him. (Answer)
3.) Say that they are the agent for the property.
4.) Give him whatever information he wants since he's a
member of the real estate community.
Of the total Board members, how many must be licensed
to practice real estate in Michigan? - answer 1.) 0
members
2.) 3 members
3.) 5 members
4.) 6 members (Answer)
Sara Sanders has started working at ABC Realty. Since
Sara does not yet have her real estate license, what
information may she give out? - answer 1.) Information on
financing
2.) Information on the number of bathrooms a listing has
(Answer)
3.) Information on closings
4.) Information on title insurance
