Magnolia - Exam 4. Questions with
Correct Verified Answers. Latest
Edition 2026-2027. Graded A
What is the net operating income of a property that has a value of
$495,000, operating expenses of $25,000, and a capitalization rate of
10%?
a. $49,500
b. $25,000 - Ansa. $49,500
47. If a broker advertises a property for sale and knows that the property
has hazardous chemicals underneath it, the broker is
a. not required to disclose this to buyers.
b. always required to disclose this to buyers. - Ansb. always required to
disclose this to buyers.
A borrower has a home loan and his deed states that he is the owner of the
property. The mortgage is an encumbrance and upon repayment of the
loan, the cloud will be removed. Which theory of mortgage lending is this
describing?
a. Lien theory
b. Title theory - Ansa. Lien theory
1
,A broker had an open listing and found the buyer for the property but then
went into the hospital. If that buyer buys the house in his absence, does he
have a case for receiving commission?
a. no
b. yes - Ansb. yes
A broker provided an up to date and accurate rental list for a $350.00 fee.
The potential tenant was unable to obtain a rental and requested a refund.
Which applies?
a. If the potential tenant makes the request within 30 days, the licensee
would be required to provide a refund of $262.50.
b. If the potential tenant makes the request within 30 days, the licensee
would be required to provide a full refund of the $350.00. - Ansa. If the
potential tenant makes the request within 30 days, the licensee would be
required to provide a refund of $262.50.
A broker receives a listing on a home and his friend wants to submit an
offer. Can the broker tell his friend that the seller is going through a
divorce?
a. No
b. Yes - Ansa. No
2
, A broker was convicted for publishing false or misleading information.
Which applies?
a. The broker can be charged by a civil court, criminal court, but not the
FREC.
b. The broker can be charged by civil court, criminal court, and the FREC. -
Ansb. The broker can be charged by civil court, criminal court, and the
FREC.
A building is 4 stories high and each floor is 100x50. I want to put bins in all
the space I can. I can't use 20% of each floor. The bins are 10x10. How
many bins can I put in this building?
a. 160
b. 240 - Ansa. 160
A clause found in a deed limiting the size of a dwelling to be constructed on
a lot to a minimum of 2,000 square feet would be an example of a
a. restrictive covenant.
b. deed restriction. - Ansb. deed restriction.
A CMA is similar to an appraisal
a. because adjustments are made to the subject. b. because adjustments
are made to the comparables. - Ansb. because adjustments are made to
the comparables.
3
Correct Verified Answers. Latest
Edition 2026-2027. Graded A
What is the net operating income of a property that has a value of
$495,000, operating expenses of $25,000, and a capitalization rate of
10%?
a. $49,500
b. $25,000 - Ansa. $49,500
47. If a broker advertises a property for sale and knows that the property
has hazardous chemicals underneath it, the broker is
a. not required to disclose this to buyers.
b. always required to disclose this to buyers. - Ansb. always required to
disclose this to buyers.
A borrower has a home loan and his deed states that he is the owner of the
property. The mortgage is an encumbrance and upon repayment of the
loan, the cloud will be removed. Which theory of mortgage lending is this
describing?
a. Lien theory
b. Title theory - Ansa. Lien theory
1
,A broker had an open listing and found the buyer for the property but then
went into the hospital. If that buyer buys the house in his absence, does he
have a case for receiving commission?
a. no
b. yes - Ansb. yes
A broker provided an up to date and accurate rental list for a $350.00 fee.
The potential tenant was unable to obtain a rental and requested a refund.
Which applies?
a. If the potential tenant makes the request within 30 days, the licensee
would be required to provide a refund of $262.50.
b. If the potential tenant makes the request within 30 days, the licensee
would be required to provide a full refund of the $350.00. - Ansa. If the
potential tenant makes the request within 30 days, the licensee would be
required to provide a refund of $262.50.
A broker receives a listing on a home and his friend wants to submit an
offer. Can the broker tell his friend that the seller is going through a
divorce?
a. No
b. Yes - Ansa. No
2
, A broker was convicted for publishing false or misleading information.
Which applies?
a. The broker can be charged by a civil court, criminal court, but not the
FREC.
b. The broker can be charged by civil court, criminal court, and the FREC. -
Ansb. The broker can be charged by civil court, criminal court, and the
FREC.
A building is 4 stories high and each floor is 100x50. I want to put bins in all
the space I can. I can't use 20% of each floor. The bins are 10x10. How
many bins can I put in this building?
a. 160
b. 240 - Ansa. 160
A clause found in a deed limiting the size of a dwelling to be constructed on
a lot to a minimum of 2,000 square feet would be an example of a
a. restrictive covenant.
b. deed restriction. - Ansb. deed restriction.
A CMA is similar to an appraisal
a. because adjustments are made to the subject. b. because adjustments
are made to the comparables. - Ansb. because adjustments are made to
the comparables.
3
