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Question 1
Candidates for a Washington Real Estate Commission seat must have five years of brokerage
experience or how many years of experience in a related investigative position?
A) One
B) Two
C) Three
D) Four
E) Six
Correct Answer: C) Three
Rationale: Per Washington law, a person appointed to the commission must have either five
years of active experience as a broker in the state or three years of experience in an
investigative capacity involving real estate law or practice.
Question 2
Rachel, a REALTOR®, is transferring her Washington broker's license to a new firm. She calls
all of her clients and asks them to terminate their current agreements with her old firm to move
with her. What code or agreement has Rachel primarily violated?
A) The Washington Fair Housing Act
B) The REALTOR® Code of Ethics
C) The Sherman Antitrust Act
D) The CAN-SPAM Act
E) The Statue of Frauds
Correct Answer: B) The REALTOR® Code of Ethics
Rationale: While license law governs the transfer of licenses, the act of soliciting clients to
terminate an active contract with another firm is a direct violation of the REALTOR®
Code of Ethics (specifically Article 16), which prohibits interfering with existing exclusive
representation agreements.
Question 3
In the real estate business, which professional's primary role is to provide clients with the
information and analysis they need to make informed decisions about their own specific real
estate interests?
A) Real estate counselor
B) Mortgage broker
C) Home inspector
D) Designated broker
E) Title officer
Correct Answer: A) Real estate counselor
Rationale: A real estate counselor provides expert advice and analysis to clients for a fee.
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Unlike a standard broker who facilitates a transaction, the counselor’s primary goal is to
provide strategic information to help the client achieve their specific goals.
Question 4
What is the primary purpose of Washington's Uniform Regulation of Business and Professions
Act (URBPA)?
A) To create new real estate commissions
B) To set the commission rates for all brokers
C) To consolidate disciplinary procedures for all licensed professions in Washington
D) To regulate the sale of out-of-state land
E) To provide insurance for real estate firms
Correct Answer: C) Consolidate disciplinary procedures for all licensed professions in
Washington
Rationale: URBPA was enacted to provide a consistent and uniform approach to the
investigation, hearing, and disciplinary processes across various licensed professions
regulated by the state, including real estate.
Question 5
Which of the following is true of a Washington real estate firm operating as a corporation?
A) The corporation must be owned by at least 10 brokers.
B) The corporation must furnish a certified copy of the articles of incorporation to the DOL.
C) The corporation is exempt from needing a designated broker.
D) The corporation can only operate in one county.
E) Corporations are not allowed to practice real estate in Washington.
Correct Answer: B) The corporation must furnish a certified copy of the articles of
incorporation to the DOL.
Rationale: When a firm applies for a license as a corporation, it must prove its legal
standing by providing the Department of Licensing (DOL) with a certified copy of its
articles of incorporation and a list of its officers.
Question 6
In Washington, how much of every license application, renewal, or reactivation fee is dedicated
to supporting the Washington Center for Real Estate Research (WCRER)?
A) $1
B) $5
C) $10
D) $20
E) $50
Correct Answer: C) $10
Rationale: Washington law mandates that $10 from each licensing fee (original, renewal,
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and reactivation) be set aside to fund the WCRER, which conducts research on the state’s
real estate markets and trends.
Question 7
Even without delegated authority from a designated broker, what is a Washington branch
manager authorized to do relative to employed licensees?
A) Change the firm's commission split policy
B) Hire
C) Fire the designated broker
D) Sign off on the firm’s tax returns
E) Open a new branch office independently
Correct Answer: B) Hire
Rationale: By virtue of their position, a branch manager is authorized to hire licensees for
that specific branch. However, broader management and disciplinary powers usually must
be formally delegated by the designated broker.
Question 8
Which of the following can perform services for more than one firm at a time in Washington?
A) A newly licensed broker
B) A branch manager
C) A designated broker
D) An unlicensed assistant
E) No one; it is illegal to work for more than one firm
Correct Answer: C) Designated broker
Rationale: While most licensees are restricted to representing a single firm, a designated
broker may act as the designated broker for more than one firm simultaneously, provided
they are properly licensed and registered for each.
Question 9
Which of the following statements about a "brief adjudicative hearing" in Washington is true?
A) They are held before a jury of peers.
B) No witness testimony is accepted.
C) They are only used for criminal felony charges.
D) They last for a minimum of two weeks.
E) They must be held in a federal court.
Correct Answer: B) No witness testimony is accepted.
Rationale: A brief adjudicative hearing is a streamlined disciplinary process for minor
infractions. Because of its nature, it relies on documentary evidence and written arguments
rather than oral witness testimony.