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Kentucky Broker Law Questions with Correct
Answers for Specific Exam Mail
Agency
Ans: A legal relationship in which one party, called the principal, authorized
another, called the agent, to act on the principal's behalf
Real Estate Brokerage
Ans: a single, multiple, or continuing act of dealing in time shares or options,
selling or offering for sale, or exchange of real estate, engaging in property
management, leasing or offering to lease, renting or offering for rent, or
referring or offering to refer for the purpose of securing prospects, any real
estate or the improvements thereon for others for a fee, compensation, or
other valuable consideration
Commission
Ans: means the Kentucky Real Estate Commission
Net Listing
Ans: means a listing agreement that provides for a stipulated net price to the
owner and the excess over the stipulated net price to be received by the
licensee as the fee compensation or other valuable consideration
Principal broker
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,2
Ans: means a person licensed as a broker under KRS 324.046 who, in addition
to performing acts of real estate brokerage or transactions comprehended
by that definition, is the single broker responsible for the operation of the
company with which he or she is associated
Real estate
Ans: means real estate in its ordinary meaning and includes timeshares,
options, leaseholds, and other interests less than leaseholds
Sales associate
Ans: means any person licensed in accordance with KRS 324.046(2) that is
affiliated with a Kentucky-licensed principal broker- and who, when
engaging in real estate brokerage, does so under the supervision of the
principal broker
Approved real estate school
Ans: means: a school that has been given a certificate of approval by the
Kentucky Commission on Proprietary Education or other regulatory bodies
that exercise jurisdiction over accreditation and approval and the Kentucky
Real Estate Commission.
Approved real estate school
Ans: A National Association of Realtors recognized program which has been
reviewed by the Kentucky Real Estate Commission and deemed an
_______________________________________
Accredited institution
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,3
Ans: means a college or university accredited by appropriately recognized
educational associations or chartered and licensed in Kentucky that grants
credits toward a program for either an associate, baccalaureate, graduate,
or professional degree
Property management
Ans: means the overall management of real property for others for a fee,
compensation, or other valuable consideration, and may include the
marketing of property, the leasing of property, collecting rental payments on
the property, payment of notes, mortgages, and other debts on the property,
coordinating maintenance for the property, remitting funds and accounting
statements to the owner, and other activities that the commission may
determine by administrative regulation
Broker
Ans: means any person who is licensed under KRS 324.046 (1) and performs
acts of real estate brokerage
Designated manager
Ans: means a licensed sales associate or broker who manages a main or
branch office for the principal broker, at the principal broker's direction, and
has managing authority over the activities of the sales associates at that
office
Regular employee
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, 4
Ans: means an employee who works for an employer, whose total
compensation is subject to withholding of federal and state taxes and FICA
payments, and who receives from the employer a fixed salary governed by
federal wage guidelines that is not affected by specific real estate
transactions
Designated agency
Ans: means a form of agency relationship that exists when a principal broker,
in accordance with KRS 324.121, identifies different licensees in the same real
estate brokerage firm to separately represent more than one party in the
same real estate transaction
Affiliation
Ans: means the relationship agreed upon between a licensee and a
principal broker and reported to the commission where the licensee places
his license with the principal broker for supervision of the licensee's real estate
brokerage activity
Canceled
Ans: means the status of a license when a licensee fails to renew a license,
writes the commission a check for fees that is not honored, fails to re-affiliate
with a principal broker, or fails to complete requirements for continuing or
post-license education
Suspended
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Kentucky Broker Law Questions with Correct
Answers for Specific Exam Mail
Agency
Ans: A legal relationship in which one party, called the principal, authorized
another, called the agent, to act on the principal's behalf
Real Estate Brokerage
Ans: a single, multiple, or continuing act of dealing in time shares or options,
selling or offering for sale, or exchange of real estate, engaging in property
management, leasing or offering to lease, renting or offering for rent, or
referring or offering to refer for the purpose of securing prospects, any real
estate or the improvements thereon for others for a fee, compensation, or
other valuable consideration
Commission
Ans: means the Kentucky Real Estate Commission
Net Listing
Ans: means a listing agreement that provides for a stipulated net price to the
owner and the excess over the stipulated net price to be received by the
licensee as the fee compensation or other valuable consideration
Principal broker
Pretest - Stuvia US
,2
Ans: means a person licensed as a broker under KRS 324.046 who, in addition
to performing acts of real estate brokerage or transactions comprehended
by that definition, is the single broker responsible for the operation of the
company with which he or she is associated
Real estate
Ans: means real estate in its ordinary meaning and includes timeshares,
options, leaseholds, and other interests less than leaseholds
Sales associate
Ans: means any person licensed in accordance with KRS 324.046(2) that is
affiliated with a Kentucky-licensed principal broker- and who, when
engaging in real estate brokerage, does so under the supervision of the
principal broker
Approved real estate school
Ans: means: a school that has been given a certificate of approval by the
Kentucky Commission on Proprietary Education or other regulatory bodies
that exercise jurisdiction over accreditation and approval and the Kentucky
Real Estate Commission.
Approved real estate school
Ans: A National Association of Realtors recognized program which has been
reviewed by the Kentucky Real Estate Commission and deemed an
_______________________________________
Accredited institution
Pretest - Stuvia US
,3
Ans: means a college or university accredited by appropriately recognized
educational associations or chartered and licensed in Kentucky that grants
credits toward a program for either an associate, baccalaureate, graduate,
or professional degree
Property management
Ans: means the overall management of real property for others for a fee,
compensation, or other valuable consideration, and may include the
marketing of property, the leasing of property, collecting rental payments on
the property, payment of notes, mortgages, and other debts on the property,
coordinating maintenance for the property, remitting funds and accounting
statements to the owner, and other activities that the commission may
determine by administrative regulation
Broker
Ans: means any person who is licensed under KRS 324.046 (1) and performs
acts of real estate brokerage
Designated manager
Ans: means a licensed sales associate or broker who manages a main or
branch office for the principal broker, at the principal broker's direction, and
has managing authority over the activities of the sales associates at that
office
Regular employee
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, 4
Ans: means an employee who works for an employer, whose total
compensation is subject to withholding of federal and state taxes and FICA
payments, and who receives from the employer a fixed salary governed by
federal wage guidelines that is not affected by specific real estate
transactions
Designated agency
Ans: means a form of agency relationship that exists when a principal broker,
in accordance with KRS 324.121, identifies different licensees in the same real
estate brokerage firm to separately represent more than one party in the
same real estate transaction
Affiliation
Ans: means the relationship agreed upon between a licensee and a
principal broker and reported to the commission where the licensee places
his license with the principal broker for supervision of the licensee's real estate
brokerage activity
Canceled
Ans: means the status of a license when a licensee fails to renew a license,
writes the commission a check for fees that is not honored, fails to re-affiliate
with a principal broker, or fails to complete requirements for continuing or
post-license education
Suspended
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