BARNEY FLETCHER 2026 REAL ESTATE
PRINCIPLES ASSESSMENT STUDY GUIDE
COMPLETE QUESTIONS AND ANSWERS
◉ the person hired to represent the principal. Answer: agent
◉ in real estate practice, the ______ is considered the agent. Answer:
broker
◉ represents the principal in all aspects of the principal's dealings,.
Answer: universal agent
◉ less authority than a universal agent but may represent the
principal in an ongoing series of continuous events, usually in one
general field of endeavor. In real estate, property managers. Answer:
general agent
◉ represents the principal in one specific transaction.. Answer:
special agent
◉ acts as agent for an agent and has the same duties and obligations
as the agent. Answer: subagent
,◉ a position of trust and must put the interest of his client (Steve)
above those of all others, including and especially those of himself..
Answer: fiduciary obligations
◉ This means that the agent is required to act in the best interest of
the client and must not put anyone else's interests ahead of those of
the client.. Answer: loyalty
◉ Agents are only required to follow the ________instructions of their
client.. Answer: lawful
◉ In simple terms, this means that the licensee must perform the
duties of the agent as would a competent real estate professional
and without any negligence.. Answer: reasonable care and diligence
◉ If you are showing property you are listing and tell a prospective
buyer that "...this property is the best for you," the relationship
created could be interpreted as:. Answer: implied agency
◉ Under common law, a broker who has a listing is in a position of
trust and must put his or her interests above those of all others. This
describes what type of obligation?. Answer: fiduciary
◉ What is the greatest risk in a case where a buyer's agent submits
offers on several homes simultaneously?. Answer: . The buyer could
,be contractually obligated to buy more than one house and could
face damages if defaulting on any of the contracts.
◉ The duty of an agent to follow the instructions of the client applies
to each of the following instructions, EXCEPT:. Answer: . "Do not
reveal to any buyers that my roof leaks."
◉ The state law that specifies which types of contracts must be in
writing to be enforceable is called the:. Answer: Statute of Frauds.
◉ What offers must a listing broker present to a seller?. Answer: All
offers received prior to closing.
◉ Which of the following actions by a licensee who is working with a
consumer as a non-client could cause the creation of an agency by
implication?
a. Filling in the blanks on a pre-printed offer to purchase real
property.
b. Showing homes to a consumer which meet the consumer's
specified needs and desires.
c. Making arrangements for a home inspection to take place.
d. Making a recommendation about whether to make or accept a
counteroffer.. Answer: Making a recommendation about whether to
make or accept a counteroffer.
, ◉ A seller contacted 3 brokers and asked each to suggest the listing
price for his property. Broker A said $78,000. Broker B said $79,000.
Broker C said $91,000. The seller listed with Broker C and the house
later sold for $76,000. Broker C is guilty of violating which of his or
her agency responsibilities?. Answer: reasonable care
◉ Broker Bob has a buyer agency agreement with Buyer Bill. The
agreement calls for Buyer Bill to pay a 3% commission upon closing
of the purchase of a home. Buyer Bill purchases Seller Sally's house.
Seller Sally gave an exclusive right to sell listing agreement to Broker
Betty and agreed to pay a 6% commission. In a typical transaction of
this nature, how much commission will Buyer Bill have to pay to
Broker Bob?. Answer: nothing
◉ A real estate licensee represents himself to a customer as the
agent of a seller without the knowledge of the seller. The customer
makes an offer on the property, which the licensee then presents to
the seller. The seller accepts the offer and agrees to pay a
commission to the licensee. This is an example of:. Answer: agency
by ratification
◉ What is the purpose or effect of the equal dignities rule?. Answer:
To require that if the underlying contract must be in writing, any
related contracts must be in writing.
PRINCIPLES ASSESSMENT STUDY GUIDE
COMPLETE QUESTIONS AND ANSWERS
◉ the person hired to represent the principal. Answer: agent
◉ in real estate practice, the ______ is considered the agent. Answer:
broker
◉ represents the principal in all aspects of the principal's dealings,.
Answer: universal agent
◉ less authority than a universal agent but may represent the
principal in an ongoing series of continuous events, usually in one
general field of endeavor. In real estate, property managers. Answer:
general agent
◉ represents the principal in one specific transaction.. Answer:
special agent
◉ acts as agent for an agent and has the same duties and obligations
as the agent. Answer: subagent
,◉ a position of trust and must put the interest of his client (Steve)
above those of all others, including and especially those of himself..
Answer: fiduciary obligations
◉ This means that the agent is required to act in the best interest of
the client and must not put anyone else's interests ahead of those of
the client.. Answer: loyalty
◉ Agents are only required to follow the ________instructions of their
client.. Answer: lawful
◉ In simple terms, this means that the licensee must perform the
duties of the agent as would a competent real estate professional
and without any negligence.. Answer: reasonable care and diligence
◉ If you are showing property you are listing and tell a prospective
buyer that "...this property is the best for you," the relationship
created could be interpreted as:. Answer: implied agency
◉ Under common law, a broker who has a listing is in a position of
trust and must put his or her interests above those of all others. This
describes what type of obligation?. Answer: fiduciary
◉ What is the greatest risk in a case where a buyer's agent submits
offers on several homes simultaneously?. Answer: . The buyer could
,be contractually obligated to buy more than one house and could
face damages if defaulting on any of the contracts.
◉ The duty of an agent to follow the instructions of the client applies
to each of the following instructions, EXCEPT:. Answer: . "Do not
reveal to any buyers that my roof leaks."
◉ The state law that specifies which types of contracts must be in
writing to be enforceable is called the:. Answer: Statute of Frauds.
◉ What offers must a listing broker present to a seller?. Answer: All
offers received prior to closing.
◉ Which of the following actions by a licensee who is working with a
consumer as a non-client could cause the creation of an agency by
implication?
a. Filling in the blanks on a pre-printed offer to purchase real
property.
b. Showing homes to a consumer which meet the consumer's
specified needs and desires.
c. Making arrangements for a home inspection to take place.
d. Making a recommendation about whether to make or accept a
counteroffer.. Answer: Making a recommendation about whether to
make or accept a counteroffer.
, ◉ A seller contacted 3 brokers and asked each to suggest the listing
price for his property. Broker A said $78,000. Broker B said $79,000.
Broker C said $91,000. The seller listed with Broker C and the house
later sold for $76,000. Broker C is guilty of violating which of his or
her agency responsibilities?. Answer: reasonable care
◉ Broker Bob has a buyer agency agreement with Buyer Bill. The
agreement calls for Buyer Bill to pay a 3% commission upon closing
of the purchase of a home. Buyer Bill purchases Seller Sally's house.
Seller Sally gave an exclusive right to sell listing agreement to Broker
Betty and agreed to pay a 6% commission. In a typical transaction of
this nature, how much commission will Buyer Bill have to pay to
Broker Bob?. Answer: nothing
◉ A real estate licensee represents himself to a customer as the
agent of a seller without the knowledge of the seller. The customer
makes an offer on the property, which the licensee then presents to
the seller. The seller accepts the offer and agrees to pay a
commission to the licensee. This is an example of:. Answer: agency
by ratification
◉ What is the purpose or effect of the equal dignities rule?. Answer:
To require that if the underlying contract must be in writing, any
related contracts must be in writing.
