Michigan Real Estate Exam question and answers a+ graded

"Which of the following is TRUE about Michigan transfer tax? A)Transfer tax is a charge to the buyer at the closing. B)Transfer tax is calculated on the sale price of the real estate being conveyed. C)Transfer tax is collected at the time a mortgage to real property is recorded. D)There are two types of transfer tax: county and city." - Answer- "B-Explanation: The answer is transfer tax is calculated on the sale price of the real estate being conveyed. The two types of transfer tax are county tax and state tax. Both are the seller's (transferor's) obligation. The Register of Deeds office collects the tax at the time a conveyance (deed) is recorded " "A house was sold for $203,250. How much will be paid in transfer tax? A) $1,526.25 B) $1,745.80 C) $1,522.50 D) $1,750.10." - Answer- "D-Explanation: The answer is $1,750.10. Transfer tax is paid per $500 of the value, as determined by the sale price, with any portion of $500 rounded up. The rate of state transfer tax is $3.75 per $500, whereas county transfer tax is $0.55 per $500. The sale price of $203,250 is divided by $500 to yield 406.5, which is rounded up to a factor of 407 taxable $500 increments of value. Then, 407 multiplied by the state rate of $3.75 (per $500 increment) equals $1,526.25, 407 multiplied by the county rate of $0.55 equals $223.85. These two sums added together result in a total transfer tax of $1,750.10 " "Under the Elliott-Larson Civil Rights Act, when offering a house for lease, it is unlawful to discriminate against A) a person who smokes cigarettes. B) a family with a pet dog. C) an adult who drinks socially on the weekends. D) unmarried adults living together." - Answer- "D-Explanation The answer is unmarried adults living together. The Elliott-Larson Civil Rights Act protects against discrimination based on marital status, therefore protecting both married and unmarried individuals against discrimination in housing " "The maximum commission rate a broker can charge to a client is established by A) the Department of Licensing. B) no one there is no maximum. C) the brokers in the area. D) the local board of REALTORS®." - Answer- "B-Explanation The answer is no one there is no maximum. A commission or fee in any service provision agreement is fully negotiable among the parties to the agreement. The restriction or setting of a rate of commission by a group constitutes price-fixing under the Michigan Antitrust Reform Act " "The Michigan Right to Farm Act seeks to protect the state's second-largest industry by legislating that A) the U.S. Department of the Interior investigate all nuisance complaints against Michigan farms. B) in a nuisance suit brought against a farm, where the farm prevails, the farmer can recover double damages. C) a Michigan farm conforming to generally accepted agricultural and management practices is not a public or private nuisance.