Arizona Real Estate State Exam Questions With complete
Solutions
"To have and to hold" MOST likely would be included in a(n):
a. habendem clause
b. alienation clause
c. mortgage
d. legal description Correct Answers a. habendem clause
$142 interest is paid in an eight-month period on a $2,400
straight note. What is the interest rate? Correct Answers
Between 8.5% and 9%
A blanket mortgage usually contains which of the following?
a. closed-end clause
b. release clause
c. good faith estimate
d. due-on-sale clause Correct Answers b. release clause
A broker and an owner discussed several types of listing
agreements and decided upon an exclusive right to sell. The
broker drafted the listing, but the owner did not sign in. The
broker subsequently produced a willing buyer and demanded the
commission from the owner based upon the exclusive right to
sell. The commission is:
a. Not due because the unsigned agreement amounts to a new
listing.
b. Due because there is an implied contract between the broker
and owner.
c. Due because an oral agreement is all that is required for an
exclusive right to sell to be enforceable.
,d. Not due because the agreement was not signed by the owner.
Correct Answers d. Not due because the agreement was not
signed by the owner.
A broker brought a qualified buyer to the seller. However, at the
close of escrow, the seller refused to pay the commission. The
earnest money being held in the broker's trust account is the
exact amount of the commission. What should the broker do?
a. Keep one-half of the earnest money, and give the balance to
the seller.
b. Keep the entire amount in lieu of commission.
c. Turn the earnest money over to the seller and sue the seller for
the commission.
d. Put the earnest money into escrow and wait for the court to
decided. Correct Answers c. Turn the earnest money over to
the seller and sue the seller for the commission.
A broker informed her clients that "there is no need to consult
your attorney concerning this contract. I am authorized by law to
handle the necessary forms." The licensee is acting Correct
Answers in violation of the "Rules and Regulation" of the
Commissioner
A broker loses his license. The broker's salespeople can:
a. close all transactions as soon as possible
b. activate their licensees with other brokers
c. wait to see if their broker gets his license reinstated
d. continue to operate as before because it wasn't their fault the
broker lost his license Correct Answers b. activate their
licensees with other brokers
, A broker offers to prepare documents for a real estate
transaction at a fee of $35. Which of the following is TRUE?
a. She cannot charge for the service.
b. She may charge if the parties agree.
c. She may charge if it is considered an escrow fee.
d. She may charge if the fee was negotiated. Correct Answers
a. She cannot charge for the service.
A broker prepares documents for a real estate transaction and
charges a document preparation fee of $75. The charging of
such a fee is
a. acceptable if the parties to the transaction agree
b. prohibited by the Arizona real estate code
c. prohibited by Article 26 of the Arizona Constitution
d. acceptable if it is called an escrow fee Correct Answers c.
prohibited by Article 26 of the Arizona Constitution
A broker purchased her own listing because she knew of a
purchaser who would pay more than the listing price. The broker
Correct Answers is liable to the seller for the profit she made.
A broker with an ongoing property management contract is
required to keep residential leases and related documents for
Correct Answers 1 year from expiration
A buyer assumed a seller's 11%, $80,000 first deed of trust on
the settlement date of June 13. The seller made the monthly
payment of June 1 with interest in arrears. Which of the
following in a correct settlement entry for the interest?
a. $439.92 seller's credit
b. $293.28 buyer's debit
Solutions
"To have and to hold" MOST likely would be included in a(n):
a. habendem clause
b. alienation clause
c. mortgage
d. legal description Correct Answers a. habendem clause
$142 interest is paid in an eight-month period on a $2,400
straight note. What is the interest rate? Correct Answers
Between 8.5% and 9%
A blanket mortgage usually contains which of the following?
a. closed-end clause
b. release clause
c. good faith estimate
d. due-on-sale clause Correct Answers b. release clause
A broker and an owner discussed several types of listing
agreements and decided upon an exclusive right to sell. The
broker drafted the listing, but the owner did not sign in. The
broker subsequently produced a willing buyer and demanded the
commission from the owner based upon the exclusive right to
sell. The commission is:
a. Not due because the unsigned agreement amounts to a new
listing.
b. Due because there is an implied contract between the broker
and owner.
c. Due because an oral agreement is all that is required for an
exclusive right to sell to be enforceable.
,d. Not due because the agreement was not signed by the owner.
Correct Answers d. Not due because the agreement was not
signed by the owner.
A broker brought a qualified buyer to the seller. However, at the
close of escrow, the seller refused to pay the commission. The
earnest money being held in the broker's trust account is the
exact amount of the commission. What should the broker do?
a. Keep one-half of the earnest money, and give the balance to
the seller.
b. Keep the entire amount in lieu of commission.
c. Turn the earnest money over to the seller and sue the seller for
the commission.
d. Put the earnest money into escrow and wait for the court to
decided. Correct Answers c. Turn the earnest money over to
the seller and sue the seller for the commission.
A broker informed her clients that "there is no need to consult
your attorney concerning this contract. I am authorized by law to
handle the necessary forms." The licensee is acting Correct
Answers in violation of the "Rules and Regulation" of the
Commissioner
A broker loses his license. The broker's salespeople can:
a. close all transactions as soon as possible
b. activate their licensees with other brokers
c. wait to see if their broker gets his license reinstated
d. continue to operate as before because it wasn't their fault the
broker lost his license Correct Answers b. activate their
licensees with other brokers
, A broker offers to prepare documents for a real estate
transaction at a fee of $35. Which of the following is TRUE?
a. She cannot charge for the service.
b. She may charge if the parties agree.
c. She may charge if it is considered an escrow fee.
d. She may charge if the fee was negotiated. Correct Answers
a. She cannot charge for the service.
A broker prepares documents for a real estate transaction and
charges a document preparation fee of $75. The charging of
such a fee is
a. acceptable if the parties to the transaction agree
b. prohibited by the Arizona real estate code
c. prohibited by Article 26 of the Arizona Constitution
d. acceptable if it is called an escrow fee Correct Answers c.
prohibited by Article 26 of the Arizona Constitution
A broker purchased her own listing because she knew of a
purchaser who would pay more than the listing price. The broker
Correct Answers is liable to the seller for the profit she made.
A broker with an ongoing property management contract is
required to keep residential leases and related documents for
Correct Answers 1 year from expiration
A buyer assumed a seller's 11%, $80,000 first deed of trust on
the settlement date of June 13. The seller made the monthly
payment of June 1 with interest in arrears. Which of the
following in a correct settlement entry for the interest?
a. $439.92 seller's credit
b. $293.28 buyer's debit
