Page 1 of 130
Tennessee Auctioneer Licensing Exam QUESTIONS
AND DETAILED SOLUTIONS JUST RELEASED
Tennessee Auctioneer Licensing Exam
1. A prospective auctioneer applicant is 17 years old and has completed the 50-hour education
requirement. May this individual apply for an affiliate auctioneer license in Tennessee?
A) Yes, with parental consent
B) Yes, if a principal auctioneer sponsors them
C) No, the minimum age is 18 years
D) No, unless they have a high school diploma
Answer: C – Tennessee requires all auctioneer license applicants to be at least 18 years of age regardless
of education completion or sponsorship status.
2. Which Tennessee governmental body has statutory authority to issue, suspend, and revoke
auctioneer licenses within the state?
A) Tennessee Real Estate Commission
B) Tennessee Department of Revenue
C) Tennessee Auctioneer Commission
D) Tennessee Secretary of State
, Page 2 of 130
Answer: C – The Tennessee Auctioneer Commission, operating under the Department of Commerce and
Insurance, has sole authority over auctioneer licensing and discipline.
3. An affiliate auctioneer who has been licensed for 8 months wishes to sponsor a new applicant. Is this
allowed under Tennessee law?
A) Yes, as long as the affiliate has completed 1,000 points
B) Yes, but only for real estate auctions
C) No, only a principal auctioneer can sponsor an affiliate
D) No, unless the affiliate also holds a real estate license
Answer: C – Only a principal auctioneer who has been actively licensed for at least one year may
sponsor an affiliate auctioneer.
4. Under Tennessee Code Annotated, which title contains the Uniform Commercial Code provisions
governing auction sales of goods?
A) Title 62
B) Title 47
C) Title 55
D) Title 39
, Page 3 of 130
Answer: B – Title 47 contains the Uniform Commercial Code (UCC); Title 62, Chapter 19 specifically
addresses auctioneer licensing.
5. A buyer at an absolute auction claims the sale was not completed because he had not yet signed a
written contract. Under UCC §2-328, when is an auction sale considered legally complete?
A) When the buyer signs the purchase agreement
B) When the auctioneer announces completion by fall of hammer or customary manner
C) When the seller receives payment in full
D) When the buyer takes physical possession of the goods
Answer: B – UCC §2-328 provides that a sale by auction is complete when the auctioneer announces its
completion by the fall of the hammer or other customary manner.
6. A principal auctioneer's license renewal application is submitted 60 days after the expiration date.
What is the most likely outcome?
A) Automatic approval with late fee
B) License is automatically reinstated after paying double fees
C) License is considered lapsed; applicant must retake the PSI exam
D) No penalty if continuing education is complete
, Page 4 of 130
Answer: C – Tennessee auctioneer licenses must be renewed every two years; a lapsed license requires
re-examination and new application.
7. An auctioneer places an advertisement in the local newspaper announcing an upcoming estate
auction. What information must be included in this advertisement according to Tennessee advertising
guidelines?
A) The reserve price of each major item
B) The name and license number of the principal auctioneer or firm
C) The seller's name and contact information
D) A complete inventory of all items to be sold
Answer: B – Advertising rules require that the auctioneer's or firm's name and license number appear in
all promotional materials.
8. Under UCC provisions, if an auction advertisement does not specify whether the sale is with reserve
or without reserve, how is the auction legally classified?
A) Absolute auction
B) Without reserve auction
C) With reserve auction
Tennessee Auctioneer Licensing Exam QUESTIONS
AND DETAILED SOLUTIONS JUST RELEASED
Tennessee Auctioneer Licensing Exam
1. A prospective auctioneer applicant is 17 years old and has completed the 50-hour education
requirement. May this individual apply for an affiliate auctioneer license in Tennessee?
A) Yes, with parental consent
B) Yes, if a principal auctioneer sponsors them
C) No, the minimum age is 18 years
D) No, unless they have a high school diploma
Answer: C – Tennessee requires all auctioneer license applicants to be at least 18 years of age regardless
of education completion or sponsorship status.
2. Which Tennessee governmental body has statutory authority to issue, suspend, and revoke
auctioneer licenses within the state?
A) Tennessee Real Estate Commission
B) Tennessee Department of Revenue
C) Tennessee Auctioneer Commission
D) Tennessee Secretary of State
, Page 2 of 130
Answer: C – The Tennessee Auctioneer Commission, operating under the Department of Commerce and
Insurance, has sole authority over auctioneer licensing and discipline.
3. An affiliate auctioneer who has been licensed for 8 months wishes to sponsor a new applicant. Is this
allowed under Tennessee law?
A) Yes, as long as the affiliate has completed 1,000 points
B) Yes, but only for real estate auctions
C) No, only a principal auctioneer can sponsor an affiliate
D) No, unless the affiliate also holds a real estate license
Answer: C – Only a principal auctioneer who has been actively licensed for at least one year may
sponsor an affiliate auctioneer.
4. Under Tennessee Code Annotated, which title contains the Uniform Commercial Code provisions
governing auction sales of goods?
A) Title 62
B) Title 47
C) Title 55
D) Title 39
, Page 3 of 130
Answer: B – Title 47 contains the Uniform Commercial Code (UCC); Title 62, Chapter 19 specifically
addresses auctioneer licensing.
5. A buyer at an absolute auction claims the sale was not completed because he had not yet signed a
written contract. Under UCC §2-328, when is an auction sale considered legally complete?
A) When the buyer signs the purchase agreement
B) When the auctioneer announces completion by fall of hammer or customary manner
C) When the seller receives payment in full
D) When the buyer takes physical possession of the goods
Answer: B – UCC §2-328 provides that a sale by auction is complete when the auctioneer announces its
completion by the fall of the hammer or other customary manner.
6. A principal auctioneer's license renewal application is submitted 60 days after the expiration date.
What is the most likely outcome?
A) Automatic approval with late fee
B) License is automatically reinstated after paying double fees
C) License is considered lapsed; applicant must retake the PSI exam
D) No penalty if continuing education is complete
, Page 4 of 130
Answer: C – Tennessee auctioneer licenses must be renewed every two years; a lapsed license requires
re-examination and new application.
7. An auctioneer places an advertisement in the local newspaper announcing an upcoming estate
auction. What information must be included in this advertisement according to Tennessee advertising
guidelines?
A) The reserve price of each major item
B) The name and license number of the principal auctioneer or firm
C) The seller's name and contact information
D) A complete inventory of all items to be sold
Answer: B – Advertising rules require that the auctioneer's or firm's name and license number appear in
all promotional materials.
8. Under UCC provisions, if an auction advertisement does not specify whether the sale is with reserve
or without reserve, how is the auction legally classified?
A) Absolute auction
B) Without reserve auction
C) With reserve auction
