Real Estate Utah State Portion COMPREHENSIVE TEST BANK
FINAL EXAM QUESTIONS AND VERIFIED ANSWERS (DETAILED &
ELABORATED) ACTUAL EXAM || LATEST UPDATE\ALREDAY
GRADED A+ BEST VERSION FOR EXAM PREPARATION
Utah broker Sydney is thrilled that his client, Brendon, is closing on a purchase
transaction this afternoon. Warren at Ridge Title Company is closing the
transaction. Who's responsible for the complete accuracy of Brendon's
settlement statement?
ANSWERS: Sydney
Joe is an unlicensed employee at Mountain States Brokerage and Property
Management. He has been working under the supervision of the owner and
principal broker for three years, collecting rent and showing properties to
potential tenants. Why can he perform these tasks without a license?
ANSWERS: He works under the supervision of a principal broker.
Now in his fifth year as a licensee, associate broker Brent just had to
declare personal bankruptcy. Which of the following is true?
ANSWERS: He doesn't have any obligation to disclose this to the division.
In Utah, which of the following would be considered illegal compensation?
ANSWERS: Undisclosed compensation
,Erica describes the condo she's listed as being "the best unit in the building."
What's this an example of?
ANSWERS: Puffery
Which of the following best explains why water rights in Utah can be
forfeited?
ANSWERS: Because water is scarce and, in Utah, it's required to be used for
the public good.
Your buyer client Myron asks you, "I see all these fees, like loan fees,
mortgage
insurance, and title insurance ... do I have to pay all of these?" What should
you say?
ANSWERS: "You have to pay for the others, but let's check your policy
type; the seller may have to pay the title insurance."
After the Utah Division of Real Estate investigates complaints of license law
violations, what does it do next?
ANSWERS: The division may consider suspending the licensee, putting the
licensee on probation, or revoking the licensee's license.
Jack, a Utah licensee, has just received a check made out in his name from
another brokerage for a commission split. Can he cash it?
ANSWERS: No, because all compensation must come through his principal
broker.
,Utah affiliated branch broker Elle designates licensee Ted to complete the
closing documents for a transaction she can't attend. Elle doesn't get her
principal broker's permission before making this designation. Does Elle have
the authority to do this?
ANSWERS: No. Only principal brokers have the authority to designate
another licensee to complete closing documents, and they may only
designate affiliate brokers or associate brokers to do so.
Which of the following statements about disbursing trust account deposits in
Utah is true?
ANSWERS: Principal brokers may only disburse trust funds as the
transaction's purchase
contract specifies, as the parties direct via written authorization, or by court
order.
Jerrold reviews the floor plan of the house he's going to sell. It's 3,800
square feet. In his advertising, he bumps that number up to 4,000 square
feet to better justify its asking price. What has Jerrold done?
ANSWERS: Intentional misrepresentation
What's puffery?
ANSWERS: A statement of opinion or exaggeration that's generally
understood not to be a statement of fact
As a licensee, from whom may you receive compensation?
ANSWERS: Only your broker
, How many hours of continuing education do licensees need to document
to meet the biannual CE requirement in Utah?
ANSWERS: 18
Which of the following expenses can Connor, a property manager, use his
property management trust accounts to pay for?
ANSWERS: Repairs to a leaky roof on one of the apartment buildings he
manages
Why can mechanic's liens be filed on homes?
ANSWERS: To provide notice that there is an unresolved dispute related to
the house
Which term best describes the duties a designated agent owes to their client?
ANSWERS: Full
An old colleague of yours, Patricia, is an appraiser. She was the subject of
investigation by the Utah Department of Commerce. She has filed an appeal.
If she wins, what could she be awarded?
ANSWERS: Travel expenses
Wendy, a licensee, received an earnest money check for $15,000. Four days later,
she handed the check to her principal broker Layne, who deposited it in its
own
non-interest-bearing account as the Real Estate Purchase Contract specified.
What, if anything, did Wendy or Layne do wrong?
ANSWERS: Wendy shouldn't have waited four days to give the check to Layne
FINAL EXAM QUESTIONS AND VERIFIED ANSWERS (DETAILED &
ELABORATED) ACTUAL EXAM || LATEST UPDATE\ALREDAY
GRADED A+ BEST VERSION FOR EXAM PREPARATION
Utah broker Sydney is thrilled that his client, Brendon, is closing on a purchase
transaction this afternoon. Warren at Ridge Title Company is closing the
transaction. Who's responsible for the complete accuracy of Brendon's
settlement statement?
ANSWERS: Sydney
Joe is an unlicensed employee at Mountain States Brokerage and Property
Management. He has been working under the supervision of the owner and
principal broker for three years, collecting rent and showing properties to
potential tenants. Why can he perform these tasks without a license?
ANSWERS: He works under the supervision of a principal broker.
Now in his fifth year as a licensee, associate broker Brent just had to
declare personal bankruptcy. Which of the following is true?
ANSWERS: He doesn't have any obligation to disclose this to the division.
In Utah, which of the following would be considered illegal compensation?
ANSWERS: Undisclosed compensation
,Erica describes the condo she's listed as being "the best unit in the building."
What's this an example of?
ANSWERS: Puffery
Which of the following best explains why water rights in Utah can be
forfeited?
ANSWERS: Because water is scarce and, in Utah, it's required to be used for
the public good.
Your buyer client Myron asks you, "I see all these fees, like loan fees,
mortgage
insurance, and title insurance ... do I have to pay all of these?" What should
you say?
ANSWERS: "You have to pay for the others, but let's check your policy
type; the seller may have to pay the title insurance."
After the Utah Division of Real Estate investigates complaints of license law
violations, what does it do next?
ANSWERS: The division may consider suspending the licensee, putting the
licensee on probation, or revoking the licensee's license.
Jack, a Utah licensee, has just received a check made out in his name from
another brokerage for a commission split. Can he cash it?
ANSWERS: No, because all compensation must come through his principal
broker.
,Utah affiliated branch broker Elle designates licensee Ted to complete the
closing documents for a transaction she can't attend. Elle doesn't get her
principal broker's permission before making this designation. Does Elle have
the authority to do this?
ANSWERS: No. Only principal brokers have the authority to designate
another licensee to complete closing documents, and they may only
designate affiliate brokers or associate brokers to do so.
Which of the following statements about disbursing trust account deposits in
Utah is true?
ANSWERS: Principal brokers may only disburse trust funds as the
transaction's purchase
contract specifies, as the parties direct via written authorization, or by court
order.
Jerrold reviews the floor plan of the house he's going to sell. It's 3,800
square feet. In his advertising, he bumps that number up to 4,000 square
feet to better justify its asking price. What has Jerrold done?
ANSWERS: Intentional misrepresentation
What's puffery?
ANSWERS: A statement of opinion or exaggeration that's generally
understood not to be a statement of fact
As a licensee, from whom may you receive compensation?
ANSWERS: Only your broker
, How many hours of continuing education do licensees need to document
to meet the biannual CE requirement in Utah?
ANSWERS: 18
Which of the following expenses can Connor, a property manager, use his
property management trust accounts to pay for?
ANSWERS: Repairs to a leaky roof on one of the apartment buildings he
manages
Why can mechanic's liens be filed on homes?
ANSWERS: To provide notice that there is an unresolved dispute related to
the house
Which term best describes the duties a designated agent owes to their client?
ANSWERS: Full
An old colleague of yours, Patricia, is an appraiser. She was the subject of
investigation by the Utah Department of Commerce. She has filed an appeal.
If she wins, what could she be awarded?
ANSWERS: Travel expenses
Wendy, a licensee, received an earnest money check for $15,000. Four days later,
she handed the check to her principal broker Layne, who deposited it in its
own
non-interest-bearing account as the Real Estate Purchase Contract specified.
What, if anything, did Wendy or Layne do wrong?
ANSWERS: Wendy shouldn't have waited four days to give the check to Layne
