Champions Promulgated Contract Forms 2018 Practice Quiz with correct answers 100%

Champions Promulgated Contract Forms 2018 Practice Quiz with correct answers 100% The five essential elements that must exist for a real estate sales contract to be considered valid and enforceable are: legal purpose, competent parties, mutual assent, consideration and ____________. (a) Signature of witnesses (b) In writing (c) Acknowledgment by a notary (d) Recording in county clerk's office - Correct Answer (b) In writing If a contract has been entered into with a person who has been judged to be incompetent, that contract is considered ____________ because that person never had the capacity to enter into it. (a) Executed (b) Valid (c) Voidable (d) Void - Correct Answer (d) Void Tammy is interested in Jolene's property, but wants to research the zoning laws before purchasing. She has and agreement in which she paid a fee of $10,000 to keep the property available for a preset price for 30 days, during which time Jolene cannot sell the property to another. Tammy, however, can change her mind if she likes. What kind of agreement is this? (a) Bilateral (b) Oral (c) Option (d) Void - Correct Answer (c) Option All oral negotiations are _________. (a) Voluntary (b) Involuntary (c) Executory (d) Binding - Correct Answer (a) Voluntary The _________ assumes primary liability for performance under the contract. (a) Assignee (b) Assignor (c) Broker-Lawyer Committee (d) Title company - Correct Answer (a) Assignee Mutual consent is completed by the process of __________. (a) Consideration (b) Offer and acceptance (c) Default (d) Fraud - Correct Answer (b) Offer and acceptance Which of the following is the buyer's primary obligation toward the performance of a real estate contract? (a) Convey satisfactory title (b) Negotiate a lower price (c) Be ready to pay the agreed-upon price (d) All of these are the buyer's obligations toward the performance of a real estate contract - Correct Answer (c) Be ready to pay the agreed-upon price Which of the following contracts is NOT assignable? (a) Most purchase contracts (b) Leases (c) Contracts for personal services (d) All of these are assignable - Correct Answer (c) Contracts for personal services