RECA Fundamentals Exam 2023 Questions and Answers
100% Verified
Which of the following is NOT a RECA educational resource for industry professionals?
Spatial Information System (Spin 2)
Which entity has the authority to amend the Real Estate Act
Provincial Legislature
Which of the following measures the change in a cost of a fixed basket of goods and
services purchased by families over a period of time
Consumer Price Index (CPI)
Which of the following will occur to the supply of a good when there is a change in
quantity supplied due to a price increase?
an increase in quantity supplied
Microeconics
studies the basic theories of supply and demand as it relates to individuals, households
and firms
Resource Markets
facilitate the exchange of factors of production
What causes the quantity demanded to shift?
change in tastes, expectations, and number of consumers
benefits of economic growth
depletion of natural resources
Real Property Report
document produced by Alberta Land Surveyor
Which of the following is not a non-price determinant of demand
cost of production
What type of economy does Canada have?
mixed economy
Benefits of RECAS trust assurance and practice review program
- effective record keeping and administrative procedures
- education and advice in relation to brokerage trust accounting
- identifies and resolves potential problems regarding brokerage trust accounting
requirements
Responsibilities of RECA
- Handling professional conduct review
- establishing industry standards of practice
- issuing authorization to trade in real estate
Four factors of production
land, labor, capital, entrepreneurship
RECA provides the following annual reports
- financial reports
- industry statistics
- reports for the previous year
The structure of real estate in Alberta includes;
, - local real estate boards
- alberta real estate association
- canadian real estate association
Referral definition
The act of recommending or directing a person for service to another person or
business
- brokerage is responsible for paying and receiving remuneration in connection to trade
RECAS professional conduct review Objects
- gather all relevant information
- treat parties fairly
-gather information efficiently
Amendments to the Act
- can be made by provincial legislature with recommendations by the Minister of Service
Alberta
Amendments to the rules
The rules contain the day to day activities
- council has the authority to create and amend
Executive Director can suspend license
- determines the length of suspension
- serves the decision on the industry professional
- will consider the evidence when making the decision
Whats includes in written service agreements?
- the services to be provided by the brokerage
- the responsibilities of each party to the agreement
- the names of the parties to the agreement
failure to immediately notify Executive Director of changes to information provided in
support of license results in:
- Exec. Director may refer the matter for a professional conduct review
- Exec. Director may suspend industry professionals license
- Exec. director may cancel the industry professionals license
How long is license valid if not registered with brokerage?
36 months
Levels of Disclosure
1. other party represented by another brokerage
2. other party not represented
3. other party represented by same brokerage
Designated Agency vs Common law
Designated Agency
- relationship with individual instead of brokerage
- conflict of interest only if agent has an interest in property
Common Law
- agency relationship exists
- conflict of interest extends to whole brokerage
- must be disclosed
Inducement vs incentives
100% Verified
Which of the following is NOT a RECA educational resource for industry professionals?
Spatial Information System (Spin 2)
Which entity has the authority to amend the Real Estate Act
Provincial Legislature
Which of the following measures the change in a cost of a fixed basket of goods and
services purchased by families over a period of time
Consumer Price Index (CPI)
Which of the following will occur to the supply of a good when there is a change in
quantity supplied due to a price increase?
an increase in quantity supplied
Microeconics
studies the basic theories of supply and demand as it relates to individuals, households
and firms
Resource Markets
facilitate the exchange of factors of production
What causes the quantity demanded to shift?
change in tastes, expectations, and number of consumers
benefits of economic growth
depletion of natural resources
Real Property Report
document produced by Alberta Land Surveyor
Which of the following is not a non-price determinant of demand
cost of production
What type of economy does Canada have?
mixed economy
Benefits of RECAS trust assurance and practice review program
- effective record keeping and administrative procedures
- education and advice in relation to brokerage trust accounting
- identifies and resolves potential problems regarding brokerage trust accounting
requirements
Responsibilities of RECA
- Handling professional conduct review
- establishing industry standards of practice
- issuing authorization to trade in real estate
Four factors of production
land, labor, capital, entrepreneurship
RECA provides the following annual reports
- financial reports
- industry statistics
- reports for the previous year
The structure of real estate in Alberta includes;
, - local real estate boards
- alberta real estate association
- canadian real estate association
Referral definition
The act of recommending or directing a person for service to another person or
business
- brokerage is responsible for paying and receiving remuneration in connection to trade
RECAS professional conduct review Objects
- gather all relevant information
- treat parties fairly
-gather information efficiently
Amendments to the Act
- can be made by provincial legislature with recommendations by the Minister of Service
Alberta
Amendments to the rules
The rules contain the day to day activities
- council has the authority to create and amend
Executive Director can suspend license
- determines the length of suspension
- serves the decision on the industry professional
- will consider the evidence when making the decision
Whats includes in written service agreements?
- the services to be provided by the brokerage
- the responsibilities of each party to the agreement
- the names of the parties to the agreement
failure to immediately notify Executive Director of changes to information provided in
support of license results in:
- Exec. Director may refer the matter for a professional conduct review
- Exec. Director may suspend industry professionals license
- Exec. director may cancel the industry professionals license
How long is license valid if not registered with brokerage?
36 months
Levels of Disclosure
1. other party represented by another brokerage
2. other party not represented
3. other party represented by same brokerage
Designated Agency vs Common law
Designated Agency
- relationship with individual instead of brokerage
- conflict of interest only if agent has an interest in property
Common Law
- agency relationship exists
- conflict of interest extends to whole brokerage
- must be disclosed
Inducement vs incentives
